The SEC announced yesterday that the Division of Corporation Finance (“Division”) will host an afternoon roundtable on July 18, 2019 on the effects of short-termism on the capital markets and whether any regulatory modifications should be made to address the impacts.

Agenda: Division staff will moderate two back-to-back panels.  The first panel will address the causes and impact of short-termism with Director William Hinman and Deputy Director Shelley Parratt moderating.

The second panel will discuss the regulatory reporting system and potential regulatory modifications “to foster a longer-term focus in [the SEC’s] periodic reporting system.” David Fredrickson, Division Chief Counsel and Luna Bloom, Chief of the Office of Rulemaking, will moderate.

The announcement provides only the main topic of each panel; no subtopics or specific issues are stated. The announcement reads that the full speaker list will be provided “within coming days.”

As we shared before, the SEC is concerned about the dual needs of Main Street investors – liquidity to pay for retirement and other expenses while at the same time long-term value to fund increasing longer lifespans – and how disclosure rules should reflect and foster these needs. The SEC questions whether the current disclosure framework and other regulations have encouraged companies and certain investors to prioritize short-term over long-term results.

Viewing: The roundtable is open to the public and will begin at 12:30 p.m. ET in the auditorium at the SEC’s headquarters at 100 F Street, N.E., Washington, D.C. The event also will be webcast live on and available online for future viewing.

Written Comments: Written comments ahead of the roundtable may be submitted either electronically or on paper with the reference S7-26-18.  Electronic submissions can be made using the SEC’s Internet submission form or sending an email to Paper comments are to be addressed to Vanessa A. Countryman, Secretary, Securities and Exchange Commission, 100 F Street, NE, Washington, D.C. 20549-1090.

All comments will be made public and posted on the SEC’s website without change. No submission deadline is provided in the announcement.