May 16, 2024
Dear Ms. Countryman, I am writing to voice my strong support for the SEC's decision to reject rule proposal SR-OCC-2024-001. This proposal, which sought to allow the Options Clearing Corporation (OCC) to adjust margin requirements during periods of high market volatility, posed significant risks to both market fairness and investor protection. Allowing such adjustments would have disproportionately benefited large financial institutions, potentially leading to significant and abrupt increases in margin requirements. This could have forced liquidations, adversely affecting smaller investors and non-defaulting members. By rejecting this proposal, the SEC has taken a crucial step in maintaining the stability and integrity of our financial markets. Sudden and unreasonable changes in margin requirements during volatile periods could exacerbate financial instability, creating an environment where the interests of retail investors are overshadowed by those of larger institutions. The proposed changes could have undermined market confidence and fairness, leading to negative consequences for all market participants. I commend the SEC for its thorough review and thoughtful decision to reject this rule. Upholding measures that ensure a fair, transparent, and stable market is essential for the protection of all investors. I urge the Commission to continue prioritizing the interests of retail investors and promoting practices that foster market resilience and integrity. Thank you for considering my comments. Sincerely, Laysa Losee