Erik Lie’s Post

BIG win for investors and markets ⚖️ The D.C. Circuit Court upheld an SEC rule that will improve the way securities are traded at major stock exchanges. Better Markets supported this in an amicus brief earlier this year. Read our statement: https://lnkd.in/edJMRRzP

⚠️ The rules for selling company stock changed in 2023, and if your 10b5-1 plan isn’t compliant, you could lose your legal protection. Here’s what executives and directors need to know: ✅ Cooling-off period required, 90 days (or 2 business days post-earnings release, capped at 120) before trades can start ✅ Others face 30 days before trading ✅ Overlapping plans restricted, you can’t stack multiple at once ✅ Only one single-trade plan allowed per 12 months Translation: if a market shock hits and you don’t already have a plan on file, you may be stuck for months before you can sell. Don’t risk it. 👉 I shared a full breakdown of the SEC’s changes and a step-by-step on setting up a compliant plan in my latest video. Watch here: https://lnkd.in/eU6WHj7P Browse to our full content hub for more insights: https://lnkd.in/e_sY5Fb9 #EquityCompensation #RSUs #WealthManagement #Executives #BusinessOwners #StockOptions #TailoredWealth #FinancialPlanning #FinancialClarity

What is Front-Running? -- Front-running, also known as Tailgating, is a fraudulent and prohibited trading practice where a broker or trader places orders for their own account based on advance, non-public knowledge of a large client order that is likely to affect the price of a security, derivative, or an asset. The trader seeks to profit from the anticipated price movement that suppose to happen while executing the client’s trade. This unethical behavior undermines market integrity, violates the fiduciary duty owed to clients, and distorts fair price discovery in the market. Regulatory authorities such as SEBI and FINRA impose severe penalties on individuals or firms found engaging in such practices. #FinanceBasics #FrontRunning

#TaxLaws #Highlights Regulator extends broker deadlines for auditor-certified half-year net worth certificates; deadlines set at 60 and 45 days: Regulator relaxes timelines for stock brokers to submit auditor-certified half-yearly net worth certificates required to offer margin trading. Previously due by April 30 and October 31, the deadlines are harmonized with financial-result timelines: certificates now due within 60 days after March 31 (May 31) and within 45 days after September 30 (November 15). The amendment to the master circular is effective immediately. Recognised stock exchanges must amend bylaws/rules as needed and notify members. The measure is issued under the regulator's statutory powers to protect investors and regulate the securities market. http://dlvr.it/TNS43T

 SEBI simplifies compliance for stock brokers! The regulator has reduced 235 penalties to just 90 and replaced minor penalties with financial disincentives to promote fairness and ease of doing business. The new framework ensures uniform penalties, a lead exchange system, and tech-driven reporting via Samuhik Prativedan Manch — a step toward smarter, balanced regulation. Full analysis:  https://lnkd.in/gB5rRJgU #SEBI #EaseOfDoingBusiness #StockMarket #Compliance #SEBIReforms #FinancialMarkets #IndiaBusiness

The U.S. Securities and Exchange Commission staff have updated their government shutdown guidance to provide regulatory relief for IPO companies and other issuers seeking to move forward with offerings.   The update clarifies that the SEC will not recommend enforcement action if a company files a registration statement without a delaying amendment so that the registration statement becomes automatically effective under Section 8(a) of the Securities Act after 20 days, even if pricing information is omitted from the registration statement in reliance upon Rule 430A. This temporary relief recognizes the SEC’s inability to review or accelerate the effectiveness of filings during the shutdown.   Ropes & Gray’s Viewpoints team outlines what this means for companies considering this path to effectiveness and the key factors to evaluate before proceeding.   Read the full analysis here: https://lnkd.in/gqD-QTWY

#TaxLaws #Highlights Securities regulator renews stock exchange recognition under Securities Contracts (Regulation) Act for 16 Sep 2025-15 Sep 2026: The securities regulator granted renewal of recognition to a stock exchange under the Securities Contracts (Regulation) Act for the period 16 September 2025 to 15 September 2026, having found renewal to be in the interest of trade and the public. The renewal is granted under the regulator's statutory powers and applies to contracts in securities, subject to the conditions set forth and to any additional conditions that may be prescribed or imposed by the regulator from time to time. http://dlvr.it/TNltZ5

United States, U.S. Securities & Exchange Commission: SEC Considers Compliance Date Adjustments Following Court Decision on Regulation NMS Amendments The U.S. Securities and Exchange Commission (SEC) has issued a statement following a U.S. court of appeals decision regarding amendments to Regulation NMS Rules 610 and 612. These amendments involve reducing access fee caps for protected quotations and the minimum pricing increment for certain National Market System (NMS) stocks. The court denied the challenge against the amendments to the access fee caps, a decision welcomed by SEC Chairman Paul S. Atkins. Due to potential uncertainty from the litigation, the SEC is considering whether to adjust compliance dates for these rules. The compliance date for Rules 612, 610, and the round lot definition is set for November 3, 2025, while for odd-lot information, it is May 4, 2026. The SEC has also received requests for a temporary two-year exemption from disseminating certain odd-lot information. Source: https://lnkd.in/epmbgK_Y

What fiduciary duty do dealers owe to counterparties when pre-hedging large transactions? Learn more from Bracewell’s Charles Mills in this Risk.net article: https://lnkd.in/ehEPUfmV

If your RIA takes custody of client assets, the SEC requires an annual surprise exam to stay compliant. Sam Addy, Audit Shareholder, breaks down what the process looks like and how to prepare. Read More: https://hubs.li/Q03MpDlY0