February 14, 2022
As a retail investor I appreciate the SEC's recent moves to address what I view as obfuscation (by bad actors) regarding the manipulation of securities. The more I learn about our stock market the more horrified I am. Beyond well known classic manipulative tactics (e.g. \"pump and dump\") it seems that more sophisticated methods of manipulation (exploiting derivatives and their reporting - such as securities based swaps amongst others) have been used to the detriment of myself and many others for years.
Part of the American dream is the belief that with hard work, persistence, and a little luck that we all have the ability to succeed. The facade of America supports this view but belies the reality of a growing wealth divide between the haves and the have nots. I believe that the manipulation of SBS is one of the vehicles used to increase this divide unfairly.
I hope that the purpose (and effect) of these new rules is to level the playing field. We as small investors are already at a disadvantage within the securities markets. We do not have access to the same information as large institutions under the best of circumstances. While they can see our trades, our positions, our strategies for investing they themselves hide that same information placing us at an unfair disadvantage. They should obviously, and absolutely be monitored and penalized for market manipulation (whether through SBS or any other means), and similarly they should have to disclose their SBS positions to help prevent fraud/deception/manipulation.
I understand the market will never be fair, however the field is so tilted at this time that its making myself and others lose all faith in the system.
Why should I invest when the regulators continue to allow the wealthiest people in the world to continue defrauding us?
Long story short, I view S7-32-10 as necessary minimum steps in rebuilding retails' trust in the US stock market system.