The SEC is cracking down on highly-levered #ETFs amid the recent surge in market volatility.
The SEC just issued multiple warning letters to ETF providers, effectively "blocking" the introduction of 3x-5x levered ETFs.
"We write to express concern regarding the registration of ETFs that seek to provide more than 200% (2x) leveraged exposure to underlying indices or securities," the SEC wrote.
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The SEC is cracking down on highly-levered #ETFs amid the recent surge in market volatility.
The SEC just issued multiple warning letters to ETF providers, effectively "blocking" the introduction of 3x-5x levered ETFs.
"We write to express concern regarding the registration of ETFs that seek to provide more than 200% (2x) leveraged exposure to underlying indices or securities," the SEC wrote.
Leverage is clearly out of control
#CryptoMarketWatch