Nasdaq’s Commitment to Reforming U.S. Capital Markets
Revitalizing the Markets: 3 Key Areas
Reform of Regulations
Overly complex regulations are disincentivising market participation. Efforts should be made to free up resources so that companies can focus on innovation, growth, and job creation, rather than on red tape and unnecessary distractions.
Nasdaq proposes regulatory solutions that will reform:
- The proxy proposal process to reduce the burden on companies;
- The corporate tax code and structure and;
- The problems of irresponsible litigation.
- Advancing Nasdaq’s Revitalize Agenda
- SEC Proposes Expansion of "Test-the-Waters" Reform
- US Companies Demand Regulation of Proxy Advisors (Financial Times - subscription required)
- Public Letter Following SEC Proxy Process Roundtable (Harvard Law School Forum on Corp. Governance & Financial Regulation)
- Proxy Advisers Must Embrace Calls for Reform (Financial Times – subscription required)
- More Than 300 Companies Join Nasdaq in SEC Letter
- U.S. House Approves Financial Services Legislation Supported by Nasdaq's Revitalize Initiative
- Legislative Updates: Improving the Public Company Experience
- After U.S. Dodd-Frank Law Changes, Lobbyists Fight for More (Reuters)
- U.S. House of Representatives Passes Proxy Advisory Firm Reform Legislation
- Small Companies are Being Regulated Like Large Companies
Modernization of Market Structure
A one-size-fits-all market structure deprives some companies of the benefits they need to participate and succeed in public markets.
Nasdaq supports efforts to:
- Strengthen markets for smaller companies;
- Deploy intelligent minimum price movements for small and medium growth companies and;
- Cultivate innovative solutions that improve the trading of small and medium growth companies.
Promotion of a Long-Term View
A culture in the investment community and in the mainstream media has created an imbalance between the value of long-term return and short-term potentials.
Nasdaq supports changes to this short-term view by:
- Increasing the flexibility of reporting obligations;
- Enhancing transparency around activist investing;
- Equalizing short interest transparency and;
- Supporting the dual class structure that is critical to attracting the most innovative and growing companies to participate in public markets.
- Commentary: Shining a light on shorts will improve market integrity, investor protection (Pensions & Investments)
- Nasdaq CEO Discusses Benefit of Dual Class Structure
- Nasdaq Comment Letter to MSCI regarding Consultation on the Treatment of Unequal Voting
- The Long and Short of Unfair Trade Rules
- Nasdaq Sides with Snap on Voting Rights Debate