Apr. 20, 2022
Retail investor here reading through more of this rule proposal "In addition to creating capital efficiency opportunities for market participants, NSCC believes that broadening the scope of central clearing at NSCC to SFTs would also reduce the potential for market disruption from fire sales" ???? Are you kidding me? This is just blatantly interfering with fair price discovery. Why do we feel the constant need to shield these guys from the consequences of their actions? If they make a bad bet on absurd amounts of leverage and it goes sideways, THEY SHOULD REAP THE CONSEQUENCES, NOT BE SHIELDED FROM THEM! That would be the case for any retail participant, why isn't it a case for the institutional participants?? No one cares about us or our losses if we make a risky bet but by all means shield the big guy!