Apr. 20, 2022
Good morning, The following is my comment for File Number SR-NSCC-2022-003: As we are already in a market that is mainly not transparent and lack of accountability, I do not think that proposing this rule is an enlightened move. After reading the file and the conclusion is that the market will become much more unfair and disappointing if this rule is being proposed. This rule implied that onward lending is possible when Fails to Deliver happen, shorts can just be closed by the initial price of borrowed assets which makes no sense. This means the “infinite risk” of shorting no longer exists which will lead to a massive increase in attempted shorting. I just feel like this rule is proposed to protect the big market makers that continuously abusing shorting to make money instead of the retails or small companies. This rule will not give the market fairness. If you would like to build a fair and transparent market, I honestly think that you should take the words from retails more seriously instead of just blindingly pushing rules that only favour big institutions.