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CFTC Regulation of Precious Metals Investment Programs

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CFTC eyes regulation of precious metals investment programs.

Description: A gold bar on a black background with a CFTC logo on it.

The U.S. Commodity Futures Trading Commission (CFTC) is considering regulating the leveraged precious metals investment programs that are becoming increasingly popular. By Scott Silver and Ryan Schwamm February 21, 2023, 5:06 PM EST. Law360 (February 21, 2023, reported that the CFTC is focused on the increasing volume of leveraged investment in gold, silver and other precious metals.

Precious metals like gold and silver are some of the best investments in inflation protection because they don't lose value as quickly as stocks, bonds and other financial instruments. With increasing demand for gold and silver, the CFTC is looking to regulate the leveraged precious metals investment programs to ensure the safety of investors.

The CFTC's efforts to regulate leveraged precious metals investment programs are part of its oversight of commodity markets, which includes monitoring the activities of commodity exchanges, futures commission merchants and introducing brokers. The CFTC has been monitoring the growth of leveraged precious metals investments since 2016 and is now considering taking action to regulate these investments.

The CFTC is concerned about the risks associated with leveraged precious metals investments, such as the potential for losses that exceed the original amount invested and the potential for fraudulent schemes. The CFTC is also concerned about the potential for market manipulation and price volatility.

Investors who are interested in investing in precious metals should understand the risks associated with leveraged investments. Leveraged investments involve a high degree of risk, and investors should be aware of the potential for losses. Investors should also be aware of the potential for fraud, as well as the potential for market manipulation and price volatility.

The CFTC has issued several warnings to investors about the risks associated with leveraged precious metals investments. The CFTC has also issued guidance on the types of investments that are appropriate for leveraged investments.

As with gold ETFs, you can buy mutual funds that invest in the metal itself or shares of precious metal mining companies. Investing in gold and silver ETFs is a popular alternative to buying physical gold and silver. ETFs are a type of security that tracks the price of an underlying asset.

Another way to invest in precious metals is to buy coins or bars. Coins and bars are physical representations of precious metals and can be purchased from dealers or directly from the mint. Coins and bars are a more secure form of investment than ETFs because they are tangible assets.

Why Invest in Gold and Precious Metals Now? Gold is probably the most popular investment in all of human history and for good reason. It is a hedge against inflation and a store of value. Gold has been a safe haven for centuries and is generally considered to be a stable and reliable asset.

The gold outlook is positive, as the macroeconomic environment is expected to remain supportive of gold prices. Investors should consider the gold outlook, precious metals investment strategies, uranium and the impacts of megatrends on metals and mining investing.

Securities Disclosure: I, Charlotte McLeod, hold no direct investment interest in any company mentioned in this article. Editorial Disclosure: The information contained in this article is for informational purposes only. It is not intended to be an offer, solicitation, or recommendation to buy or sell any securities.

Ray Dalio seems to be just as bullish on gold and precious metals. He believes that gold is an important asset to have in one's portfolio, especially in times of economic uncertainty. Learn more about the best precious metal trading platforms and pick the one that's right for you.

Los Angeles, CA, 21st February 2023, ZEXPRWIRE, When it comes to exchanging or adjusting precious metal holdings inside or outside of a portfolio, investors have relied on the CFTC for guidance. With the CFTC's recent announcement that it is looking to regulate leveraged precious metals investments, investors now have more certainty when it comes to making investments.

Virtual Investor Conferences, the leading proprietary investor conference series, announced the presentations from the CleanTech and Precious Metal Virtual Investor Conference held on February 18th. The conference featured a panel of experts discussing the potential of precious metals investments, the CFTC's current regulations, and how investors can protect their portfolios.

The CFTC is taking steps to ensure that leveraged precious metals investments are being made responsibly and that investors are aware of the risks associated with these investments. Investors should be aware of the risks and understand the potential for losses before investing in precious metals. With CFTC regulation, investors can feel more secure when investing in precious metals.

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