SEC releases draft of four-year strategic plan

The SEC plans to step up regulatory authority as outlined in its 2014-2018 strategic plan draft

As it continues to build on the success of the Office of the Whistleblower, the Securities and Exchange Commission (SEC) released a draft of its four-year strategic plan, which is open for public comment through March 10. The SEC outlined more than 70 initiatives intended to improve its efficiency and effectiveness.

The SEC said the ever-increasing global environment of financial and securities markets has influenced its goals and priorities, noting, however, that “no plan can anticipate all possible scenarios.”

“Effective regulation of the U.S. financial system requires us to grapple with a global financial system that transcends boundaries,” Mary Jo White, chairman of the SEC, said in the agency’s strategic plan draft. “And it demands that we match our regulatory and enforcement priorities with those of scores of jurisdictions around the world.”

Among the agency’s objectives is to establish and maintain “a regulatory environment that promotes high-quality disclosure, financial reporting and governance and prevents abusive practices by registrants, financial intermediaries and other market participants,” the draft plan states.

Included in its long list of goals for 2014-2018, the SEC plans to engage in rule-making mandated by Congress (i.e. Dodd-Frank Act and the JOBS Act); strengthen proxy infrastructure by further considering the role of proxy advisory firms; enhance the technological resilience of securities firms; and foster compliance with federal securities laws.

“By identifying violations early, the SEC seeks to punish wrongdoers promptly, correct violative behavior in the financial markets before it proliferates, stop fraud and manipulation before it affects a large number of investors and locate and preserve investors’ assets before they are lost or dissipated,” the draft plan states.

The draft plan was prepared in accordance with the Government Performance and Results Modernization Act of 2010, which requires federal agencies to outline their missions, planned initiatives, and performance goals for a five-year period.

To submit comments on the SEC’s proposed strategic plan, email PerformancePlanning@sec.gov by March 10.

 

For more stories related to the SEC, check out InsideCounsel’s coverage below:

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