Two men share securities regulation news

Breaking news and expert analysis on legal and compliance issues

[Back To Home][Back To Archives]

From Securities Regulation Daily, May 7, 2018

Commissioner Piwowar announces exit plans

By Lene Powell, J.D.

SEC Commissioner Michael Piwowar announced he plans to resign his position as of July 7, 2018, or earlier if a successor is sworn in. If not immediately replaced, Piwowar’s departure will leave the Commission with four commissioners.

Piwowar’s term officially expires June 5, but commissioners may serve up to 18 months beyond the expiration of their terms. Commissioner Kara Stein is currently serving past expiration, as her term was up in 2017. As such, replacements for Piwowar and Stein may be nominated as a pair.

"Make economic analysis great again." Piwowar, who is only the third SEC commissioner to hold a Ph.D. in economics, has consistently championed the importance of economic analysis in SEC rulemaking, examinations, enforcement, and litigation. He said he has seen "considerable improvements" in SEC rulemaking during his term thanks to the insights of SEC economists.

"I will leave office at the end of my term satisfied that we have "Made Economic Analysis Great Again," Piwowar said in a recent speech to federal judges.

He would like to see further improvements, including closer integration of economists in policymaking and formal guidance on the use of economic analysis in enforcement.

Chairman Jay Clayton lauded Piwowar’s service and said the commissioner’s focus had raised the involvement and rigor of economic analysis in matters ranging from rulemaking to enforcement.

Advocate for the "forgotten investor." Likening modern investors to William Graham Sumner’s Forgotten Man, "dragooned into someone else’s quixotic crusade," Piwowar believes that the SEC disclosure regime has been coopted for political purposes. Instead of protecting the investor, disclosure requirements "bury the shareholders in an avalanche of trivial information" that does not help investors make decisions. Piwowar has also questioned whether the accredited investor regime and civil monetary penalties for corporations help or hurt investors.

MainStory: TopStory SECNewsSpeeches

Back to Top

Securities Regulation Daily

Introducing Wolters Kluwer Securities Regulation Daily — a daily reporting service created by attorneys, for attorneys — providing same-day coverage of breaking news, court decisions, legislation, and regulatory activity.


A complete daily report of the news that affects your world

  • View full summaries of federal and state court decisions.
  • Access full text of legislative and regulatory developments.
  • Customize your daily email by topic and/or jurisdiction.
  • Search archives for stories of interest.

Not just news — the right news

  • Get expert analysis written by subject matter specialists—created by attorneys for attorneys.
  • Track law firms and organizations in the headlines with our new “Who’s in the News” feature.
  • Promote your firm with our new reprint policy.

24/7 access for a 24/7 world

  • Forward information with special copyright permissions, encouraging collaboration between counsel and colleagues.
  • Save time with mobile apps for your BlackBerry, iPhone, iPad, Android, or Kindle.
  • Access all links from any mobile device without being prompted for user name and password.