• Register
Return to: Home > News > SEC adopts amendments to renovate update disclosure requirements

SEC adopts amendments to renovate update disclosure requirements

The Securities and Exchange Commission (SEC) has voted to adopt amendments to certain disclosure requirements that have become duplicated, overlapping or outdated. This is compared to other Commission disclosure requirements, U.S Generally Accepted Accounting Principles (GAAP), or changes in the environment.

SEC’s chairman Jay Clayton said: “It is important to review our regulations to ensure that they evolve along with our capital markets and remain effective and efficient. Today’s amendments are an example of how thoughtful reviews can prompt changes for the benefit of investors, public companies and our capital markets.”

The SEC is also referring certain disclosure requirements that overlap with, but require information incremental to the Financial Accounting Standards Board (FASB) for consideration potential incorporation into GAAP.

The Amendments

The amendments derive as part of an initiative from the Division of Corporation Finance to review the disclosure requirements applicable to issuers to consider ways to improve the requirements for the benefit of investors and issuers.

As part of the SEC’s efforts to implement the Fixing America’s Surface Transportation (FAST) act, the amendments requires the commission to eliminate provisions of Regulation S-K  that are duplicative, overlapping, outdated or even unnecessary

It will also aim to simplify and update the disclosure of information to investors, including long-term main street investors. It will also reduce compliance burdens for companies without significantly altering the total mix of information available to investors.

The amendments will be effective 30 days from publication in the Federal Register.

Highlights of the Amendments

Public reporting companies including foreign issuers are the ones primarily affected by the amendments.

Some of the amendments will also apply to other entities which the SEC regulate, this includes; Regulation A issuers, investment advisers, investment companies, broker-dealers and nationally recognised statistical rating organisations.

 

By Mishelle Thurai 

Top Content

    Addressing tax challenges and the digitisation of the economy

    As the economy becomes even more globalised through digital sources, the tax systems currently in place need to be scrutinised to examine whether they are still fit for current and emerging business models. Joe Pickard reports on the OECD’s approach to this issue.

    read more

    Primary financial statements: a game changer in reporting?

    International Accounting Standards Board chair Hans Hoogervorst delivered a speech at the Seminario International sobre NIIF y NIF, organised by the Consejo Mexicano de Normas de Información Financiera in Mexico. The Accountant presents the highlights.

    read more

    FASB readies standards for the netflix generation

    The US Financial Accounting Standards Board (FASB) has updated its accounting standard for entertainment, with a specific eye on keeping up to date with how episodic content, such as television programmes, is consumed in the modern world. Jonathan Minter reports.

    read more

    Brexit: why it takes two to tango

    Former TA editor Vincent Huck, now editor of Insurance Asset Risk, looks at why Brexit might unleash geopolitical intrigue in Europe’s accounting standard-setting scene – and why IFRS 17 will be an incredible source of opportunity for firms in the coming years.

    read more
Privacy Policy

We have updated our privacy policy. In the latest update it explains what cookies are and how we use them on our site. To learn more about cookies and their benefits, please view our privacy policy. Please be aware that parts of this site will not function correctly if you disable cookies. By continuing to use this site, you consent to our use of cookies in accordance with our privacy policy unless you have disabled them.