SEC commissioners have released a statement on the SEC’s website regarding Gary Gensler’s Agenda.
Commissioners Hester Pierce and Elad Roisman are disappointed with Gary’s proposals, noting it fails to include proper investor protection.
The retail community’s concerns have fallen upon deaf ears when attempting to reach Gary Gensler.
The SEC’s Chairman has failed to establish a relationship with retail investors and protect them against market injustices.
Is it time to replace the SEC’s Chairman due to negligence of retails rights?
Here’s what commissioners at the SEC are saying.
Welcome to Franknez.com – while Gary Gensler had a real opportunity to win retail, he chose not to take matters seriously. Now he’s under intense scrutiny.
Let’s get started!
No Sign of a Fair Market on Gensler’s Agenda
“It fails to include any items intended to facilitate capital formation and misses opportunities to foster fair, orderly, and efficient markets and further investor protection”, says the statement.
Titled, “Falling Further Back“, the commissioners mention Gensler’s agenda plans to redo recently completed rules, and add new regulatory obligations, and constrain investor choice.
This sounds like Gary Gensler is anti-retail investor.
To constrain investor choice is to force a particular course of action.
Recent rules made by the SEC protect retail investors in some form against hedge funds, so why does Gary Gensler want to alter these existing and completed rules?
To impose new regulatory obligations on retail investors sounds rather restricting if you ask me.
Another issue these commissioners encountered in Gensler’s Agenda is the neglection of helping companies raise capital by lowering their thresholds.
Higher thresholds provide a plethora of opportunity to employees, businesses, and small investors.
Abandonment of OTC Trading Regulations
The commissioners are disappointed that the agency is no longer considering the approval of regulating the quality of OTC transactions.
OTC, or over the counter markets is where trading occurs outside a centralized exchange such as the NYSE.
OTC trading provides hedge funds with a loophole to commit fraud since there is less regulation and wider bid-ask spreads to manipulate the market.
Keep in mind commissioners over at the SEC are disappointed with these choices.
It is not common for colleagues to speak out against one another.
But their hands are tied behind their back.
It’s going to take the community to raise awareness surrounding these alarming concerns that allow financial institutions to manipulate the market.
Low CAT Data Security Leaves Investors’ Data Vulnerable
Cyber security is massively important in today’s world and commissioners over at the SEC say Gensler’s agenda fails to prioritize action on data security.
The CAT system, also known as consolidated audit trail, is the current computer system used to record orders, quotes, and trades and identifies the brokers dealing them.
They fear that slowing down the protections around the CAT system leaves investors’ data vulnerable.
Measures were supposed to have taken place last spring but have now been put off.
The end of the statement reads, “We urge the Commission to apply our scarce resources toward better uses than undermining recent precedent and depriving the markets and investors of these rules’ benefits.”
If the SEC is not properly funded by our government to take appropriate measures in the market, then this too causes systemic risk.
There’s no question the SEC Chairman must be replaced but that is only my opinion.
Leave Your Thoughts Below
Why do you think Gensler’s agenda is aimed towards regulating retail investors?
Does this new surprise you?
Leave a comment below.
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Read: SR 21-19: The fed is about to impose massive margin calls
Heavy buy IMO