US regulators unveil proposal to modernize transparency

The top US markets regulators have unveiled a proposal to abolish paper-based forms and digitize disclosure requirements in order to modernize how broker-dealers, stock exchanges, clearing agencies, and others report to the government.

At a public meeting, the Securities and Exchange Commission's five members were due to vote on the proposal, which would allow electronic signatures and machine-readable data for some forms to be submitted to the agency's heavily used EDGAR internet database for securities filings.

The forms include annual compliance reports by securities-based swap dealers and risk assessments by broker-dealers. The proposal allows securities exchanges to update their websites when they start trading in new derivatives.

The SEC on Tuesday postponed its plans for Wednesday's open meeting to include a vote on adopting a proposal that requires money mangers in the $20 trillion private asset management industry to notify authorities of threats to the stability of the global financial system.

A spokesman said the proposed text was not ready for adoption by the SEC.