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Category Archives: Decimalization

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Legislation Proposed to Address Tick Size

Posted in Decimalization

A bill was introduced today in the House of Representatives (HR 1952) by Rep. Schweikert that  proposes to amend the Securities Exchange Act of 1934 to require the Securities and Exchange Commission to allow publicly traded companies with a certain sized public float to change their stocks’ tick sizes to increase liquidity by incentivizing capital… Continue Reading

JOBS Act at Year 1

Posted in Crowdfunding, Decimalization, Emerging Growth Company Status, Exchange Act Registration Thresholds, IPO On-Ramp, Private Placements, Regulation A+, Research, Rule 506

Any milestone, such as an anniversary, provides an opportunity for reflection and evaluation.  At the one-year anniversary of the JOBS Act, preliminary experience gives reason for some optimism.  The centerpiece of the JOBS Act, the “IPO on-ramp” provisions contained in Title I, have proven quite useful.  The SEC Staff’s guidance in the form of Frequently… Continue Reading

Decimalization Roundtable Likely Will Lead to Pilot Study

Posted in Decimalization

The SEC has posted the webcasts from its decimalization roundtable.  These are available at:  http://www.sec.gov/news/otherwebcasts/2013/decimalization-roundtable-020513.shtml.  The participants generally supported the implementation of a pilot program, and cited the need for additional empirical data regarding the effect of decimalization as well as order handling and other market structure changes on the securities of smaller and mid-cap… Continue Reading

More on Decimalization

Posted in Decimalization

As greater attention is devoted to the role of decimalization and other market structure changes in the decline of smaller company IPOs, we wanted to share this white paper authored by Leslie Seff, http://www.mofo.com/files/Uploads/Images/121124-IPOs-Decimalization-Need-for-Better-Regulation.pdf.  The paper puts into perspective the various regulations that had an effect on market making activity, and recommends a more nuanced… Continue Reading

Advisory Committee on Small and Emerging Companies Recommendations

Posted in Decimalization

In advance of its February meeting, the Committee released its draft recommendations, available here:  http://www.sec.gov/info/smallbus/acsec/draft-committee-recommendations-statement-020113.pdf.  The Committee recommends that the SEC adopt rules to increase tick sizes for smaller exchange-listed companies and permit issuers to choose their own tick sizes within certain SEC-specified ranges.  The Committee also recommends that the SEC facilitate and encourage the… Continue Reading

Decimalization Roundtable Planned

Posted in Decimalization

The SEC announced that its staff will host a roundtable early next year to discuss the impact of decimal-based stock trading on small and mid-sized companies, market professionals, investors, and U.S. securities markets.  The roundtable will be held on Feb. 5 at the SEC’s Washington, D.C., headquarters, and will be open to the public and… Continue Reading

JOBS Act Grant Thornton Webcast

Posted in Decimalization, Events

David Weild, Head of Capital Markets at Grant Thornton will be speaking during a Grant Thornton webcast about that same topic. The webcast, “The JOBS Act & tick sizes: Decimalization, public policy & the impact on banks,” will take place on October 25 from 3:00pm-4:30pm ET. The other panelists include Kendra Decker, Partner, SEC-Regulatory Matters at… Continue Reading

Call to Increase Tick Sizes: A Guest Blog

Posted in Decimalization

Former Vice Chairman of NASDAQ, David Weild IV, guest blogs about the importance of tick sizes. David is Head of Capital Markets at Grant Thornton and Founder, Chairman and CEO of Capital Markets Advisory Partners. Our prior studies served as a call to action that helped focus attention on the plight of capital formation that… Continue Reading

Report on Tick Sizes

Posted in Decimalization

Grant Thornton has published a report on tick sizes, available here http://www.sec.gov/info/smallbus/acsec/acsec-backgroundmaterials-090712-weild-article.pdf.  The report discusses two alternatives to customize tick sizes.  These alternatives are likely to be discussed during the meeting of the SEC Advisory Committee on Small and Emerging Companies today.