Apr. 09, 2021
To whom it may concern, I am in huge favor of passing these regulations as soon as possible. Many institutions and hedge funds have utilized synthetic short shares to artificially deflate the price of the stock. This not only allows them to take on large amounts of leverage, as well as massively increasing the risk for their clients and lowering the stability of the overall market. If these firms are allowed to maintain these low liquidity requirements, when they are finally margin called it will result in disaster for the global financial system. These especially relaxed regulations in the past have allowed hedge funds to parasitically drain capital from real businesses by shorting stocks synthetically and enriching themselves. I believe this is in direct contradiction to American ideals of free and fair markets. Thank you, Richard Joshuva