SEC Proposal to Change Financial Reporting to Semiannual Disclosure Passes White House Review

A plan by the U.S. Securities and Exchange Commission (SEC) that allows publicly traded companies to reduce the frequency of financial reporting from quarterly to semiannually has passed White House review, bringing it closer to implementation. According to information on government websites, the review was completed earlier this week, allowing the SEC to formally announce the proposal and solicit public comments. After receiving feedback, commissioners will need to vote again on the final version for the rule to take effect, a process typically occurring months later. Following President Donald Trump's call last year to shift from quarterly to semiannual reporting, the SEC has been advancing this initiative to reform corporate disclosure requirements. Since 1970, U.S.-listed companies have been required to disclose financial information on a quarterly basis. (Bloomberg)