Apr. 20, 2022
To whom it may concern at the SEC, Rules SR-NSCC-2022-801 and SR-NSCC-2022-003 are fraudulent and to the absolute disinterest of the entire market besides institutional investors attempting to shirk their fiduciary duties. These rules heavily threaten price discovery and competition in the markets. These rules would allow for institutional investors to avoid the infinite risk associated not only with short positions, but naked short positions. Implementing these rules would literally allow institutional investors complete control over lit exchange prices, and price discovery. These rules would allow institutions to control stock prices outright. Read that again. These rules would allow institutions to control stock prices unchecked. These rules are an affront to all participants in the market that may be manipulated by their installation. These rules would be a nightmare for all counter-parties not directly privy to information about any types of short positions. If people kept buying any type of equity after the potential implementation of these rules, any institution involved with the stock market and market-making may offload whatever "bags" (bad equity positions) to whomever is not on the inside of the events. In fact, I understated my point earlier. These rules would mean the unequivocal destruction of the markets. The fact these rules are being considered indicates the emperor has no clothes. To even consider these rules heavily implicates that your overseen counter-parties do not have the adequate collateral to close certain short and naked short positions. This is writing on the wall, and if this writing were to become law it would not be a warning anymore, it would be admission of total defeat and submission of the markets to certain market counter-parties. Respectfully, Alex (taxpayer, veteran, and a person you're supposed to protect)