Apr. 20, 2022
To whom it concerns, This propose rule change is another gross attempt to make the stock market even more complex than it needs to be. This makes it even easy for big players in the market to tell retail investors not to invest and they’ll do it for them. When proposing rules/rule changes please put it in a language easy to understand especially when most Americans have an education level of a high school diploma. I find that SR-NSCC-2022-003 is another attempt to make investing for big players even easier. SR-NSCC-2022-003 was written to benefit those who have FTDs that they need to cover on. If an entity has FTDs there should not be rules that help them out on bad trades, especially trades where they are either naked shorting or don’t have the funds to cover that position. Investopedia: Failure to deliver (FTD) refers to a situation where one party in a trading contract (whether it's shares, futures, options, or forward contracts) doesn't deliver on their obligation. Such failures occur when a buyer (the party with a long position) doesn't have enough money to take delivery and pay for the transaction at settlement. A failure can also occur when the seller (the party with a short position) does not own all or any of the underlying assets required at settlement, and so cannot make the delivery. If an entity can not pay up on FTDs we should not make it easier for them by changes the rules. Most retail investors will not be in a situation where they have FTD and if they do they must sell other positions to cover that position at market price regardless of what could happen. Entities and retail need to have accountability for their actions regardless of the outcome. This allows for the market to run in a fair and clean way. If someone gets liquidated and they held a huge position in a valuable company. The value of the underline stock will go down. This allows for those who see value in that company to invest, which in turns allows them to invest into the company at a fair market value. Retail investors would capitalize on that underlying stock price dropping because they know it will go back up doesn’t turn having some affect on the rising inequality in America. Strike down SR-NSCC-2022-003, it is un-American. V/R, Christopher Sneed P.S I didn’t spell check/check for grammar mistakes in this email. Could you do it for me?