Morgan Stanley Smith Barney announced that the firm has placed certain restrictions on the sale of leveraged, inverse, and leveraged inverse exchange traded funds (ETFs).
The move comes in response to concerns raised by regulators about the securities.
Specifically, solicited purchases will not be permitted in traditional brokerage accounts. Unsolicited purchases in these accounts will be permitted only subject to enhanced oversight and review.
In addition, no purchases will be permitted in advisory accounts managed by Morgan Stanley Smith Barney Financial Advisors.
One of the world’s largest financial services firms, Morgan Stanley Smith Barney serves clients worldwide including corporations, governments, institutions and individuals from more than 1,200 offices in 37 countries.