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Derivatives should be severly curtailed

Because their is too much system risk from derivative products - these products should be discouraged, and their volume reduced. naked shorting should be banned and naked hedging should be banned.

Dcove3 (Ron) Wrote:

It's appalling that there's no mention of ELIMINATING credit default swaps altogether, or at least restricting them to only those actually owning the underlying debt. Not owning the underlying debt gives you incentive to burn the house down.

The system has to remove the gambling instinct from markets...mere bets on short term price movements. This means banning options, futures, shorts etc unless you're a farmer or miner. If you fear for debt, put in a stop loss or sell the bond, or move to a safer security.

Ron
Jun 26 08:09 AM