On June 25, 2014, the Securities and Exchange Commission (the “SEC”) announced that it had ordered the national securities exchanges and the Financial Industry Regulatory Authority, Inc. (“FINRA”) to act jointly to develop and file with the SEC a national market system plan to implement a targeted 12 month pilot program that will widen minimum… Continue Reading
The Small Cap Liquidity Reform Act (H.R. 3448) is scheduled for a vote on February 11th. The bill (which was approved by the House Financial Services Committee in 2013) would implement a pilot program during which EGCs would be permitted to choose their tick size for prices greater than $1.00. This comes after the Investor… Continue Reading
Congressman Garrett recently renewed discussions regarding additional individual legislative initiatives or other proposals relating to promoting capital formation that might well be grouped together into a single “JOBS Act 2.0” measure. These matters had been scheduled (prior to the shutdown) to be considered at a hearing on October 9, 2013. Commentators have noted that the… Continue Reading
Yesterday, June 12, 2013, the House Subcommittee on Capital Markets and GSEs held a hearing on “Reducing Barriers to Capital Formation.” The prepared testimony for the hearing is available at: http://financialservices.house.gov/calendar/eventsingle.aspx?EventID=336906. The Subcommittee noted that there are a number of regulatory obstacles to capital formation that continue to burden smaller companies, and focused on proposals… Continue Reading
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
The SEC has made available the archived version of the webcast from the most recent meeting, held on May 1, 2013. The meeting included presentations from Duncan Niederauer, Chief Executive Officer of NYSE Euronext, and William Hambrecht, CEO of WR Hambrecht + Co., as well as discussions with several Commissioners. The webcast is accessible from… Continue Reading
On April 11, 2013, Lona Nallengara, Acting Director of the SEC’s Division of Corporation Finance, and John Ramsay, Acting Director of the Division of Trading & Markets offered testimony before the House Subcommittee on Investigations, Oversight and Regulations of the Committee on Small Business. Their testimony, which provides an overview of the Act and the… Continue Reading
The SEC has made available links to the webcasts from Friday’s meeting of the Advisory Committee on Smaller and Emerging Companies. You may access the morning session at http://www.sec.gov/news/otherwebcasts/2013/acsec020113.asx and the afternoon session at http://www.sec.gov/news/otherwebcasts/2013/acsec020113-2.asx. Chairman Walter began the meeting with a few opening remarks, which may be accessed here: http://www.sec.gov/news/speech/2013/spch020113ebw.htm. Chairman Walter invited the… Continue Reading
Today, the SEC announced the final schedule and panelists for the upcoming decimalization roundtable, see http://www.sec.gov/news/press/2013/2013-16.htm.
Today the Securities & Exchange Commission announced the agenda for the February 1st meeting of the Advisory Committee (see: http://www.sec.gov/news/press/2013/2013-11.htm), which is open to the public, and also available afterward for webcast viewing. The group will discuss tick sizes, the creation of a sophisticated-investor only exchange for emerging companies, and scaled disclosures.
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
Title I of the JOBS Act mandated that a study be conducted on the impact of decimalization. This study was delivered earlier in the year, and the SEC announced that it would call for a roundtable to discuss the impact of decimalization and consider alternatives. The roundtable will be held at the SEC on February… Continue Reading
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
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
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
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.