Aquater

Dave Fry: Thoughts on Leveraged ETFs

Black box comments are of no help, for example, readers saying they made money using this or that instrument without revealing what they based their trades on. Of course they may want to keep it close to their chest but they need to realize that any loud mouth can bluff and brag like that on any instrument.
Much of so-called regulation on the leveraged ETF's seems made to satisfy various vested or entrenched interests of financial institutions. Just in plain language lay out what are the potential problems in trading them and then get out of the traders' way. In a nation which allows casinos and even state-sponsored lotteries and other gambling avenues it is scandalous that insulting paternalism never stops in the financial arena.
Instead of facilitating good education on personal finance and investing, financial institutions try to give advice that refuses to work because it is really designed to serve the needs of the institution itself rather than the consumer. Much of regulation is of this nature which smacks of culpable paternalism.