A top financial markets watchdog has voted to adopt amendments that will modernise, simplify and enhance certain financial disclosure requirements in Regulation S-K.
The amendments voted through by the the Securities and Exchange Commission (SEC) are intended to enhance the focus of financial disclosures on material information for the benefit of investors, while simplifying compliance efforts for registrants.
“Today’s rules will improve the quality and accessibility of the disclosure that companies provide their investors, including, importantly giving investors greater insight into the information management uses to monitor and manage the business,” said Jay Clayton, chairman of the SEC.
“The improved approach to these disclosures reflects the broad diversity of issuers in our public markets and will allow investors to make better capital allocation decisions, while reducing compliance burdens and costs and maintaining strong investor protection.
“I want to thank the staff in the Division of Corporation Finance and our other divisions and offices for their work on today’s rules and, more generally, for their work to modernise and improve our disclosure system as our markets and economy have evolved. The dedication of our staff to ensure that our disclosure-based regulatory system remains effective, efficient and mission-oriented is critical to the growth and continued leadership of our public capital markets.”
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