SEC issues new rules giving more rights to shareholders


The Securities and Exchange Commission is bringing in new rules for stricter regulation of the high-frequency trading firms responsible for most of the transactions in U.S. Treasuries.

On Wednesday, SEC Chair Gary Gensler stated that many firms have not registered with the agency (SEC) and are not reporting their treasury trades to the regulating body. He also mentioned that this additional scrutiny of the firms would make the market more resilient.

He made a tweet describing the new rules and regulations and how they are for the benefit of the shareholders.

Ever since Gensler took office in April, he has called for many changes in the rules and regulatory activities of the SEC. He has also brought about revisions that bring more transparency to the Treasury market.

On Wednesday, he said that he has asked the regulators to look at the high-frequency trader registrations and consider bringing more regulations for electronic platforms.

Gary remarked that only 13% o the Treasury Cash transactions are cleared centrally. Now, the agency staff and the regulators have been asked to review the situation. He has also asked the officials to improve the TRACE trade-operating system and explore the necessary changes to disclosure forms that the hedge funds must submit to the regulator confidentially.

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