It will be tough for Trump's SEC to overhaul reporting rules

How earnings calls go bad

But he did say the SEC Division of Corporation Finance "continues to study public company reporting requirements, including the frequency of reporting".

In a tweet early Friday, Trump said that after speaking with several top business leaders, he's asking the Securities and Exchange Commission to determine whether shifting to a six-month reporting requirement would help companies grow faster and create more jobs.

The SEC has been reluctant to make changes in quarterly reporting, which has always been a cornerstone of U.S. capital markets.

Abolishing the rule would "allow greater flexibility & save money" for businesses, Mr. Trump tweeted. At a July rally in Florida, he said the chief executive of "one of the greatest companies in the world" urged him to press his tariff fight even though it would impact his business.

While Trump can not force Clayton to make changes, as a matter of courtesy the SEC chairman may promise to study the issue.

Some investors on Friday said quarterly disclosures were essential to making informed investment decisions and supported richer US valuations, and that shares could become more volatile if companies report only twice yearly.

SEC spokesmen didn't respond to requests for comment.

Trump said the issue was brought to his attention recently by Indra Nooyi, the chief executive officer of PepsiCo Inc.

More news: Turkey will emerge stronger from lira crisis despite row with USA : minister

The reports can be found on the SEC's website.

Since the Securities Exchange Act of 1934, public companies in the United States report their earnings each quarter.

Experts have long asserted that the practice of companies publicly forecasting every quarter how they expect earnings to shake out puts too much stress on short-term performance and stock price gains.

But scrapping quarterly reporting is not on the SEC's near-term agenda, according to public records.

Billionaire investor Warren Buffett and JPMorgan Chase & Co Chief Executive Jamie Dimon wrote in the Wall Street Journal in June that USA companies should move away from giving quarterly guidance, arguing it holds back spending on hiring, investment and research, but did not call for an end to quarterly reporting.

He said when companies report only twice a year, the reaction in markets to their results is typically more volatile than the reaction to quarterly results. Less-frequent public disclosures could hand another advantage to sophisticated investors with easy access to corporate executives, corporate governance experts said.

"Investors and other stakeholders benefit when regulations ensure that important information is promptly and transparently provided to the marketplace", said Amy Borrus, CII's deputy director.

The US Chamber of Commerce and other lobbying groups have also blamed compliance burdens for preventing more companies from selling shares.

Related News:

  • Death toll of Kabul attack on students revised down

    Death toll of Kabul attack on students revised down

    IS, which considers Shias to be heretics, frequently targets them, attacking their mosques, schools and cultural centres. Mattis said Thursday some Taliban fighters were still holed up in houses in the city "trying to get resupplied".
    Democratic candidate for Vermont governor rejects socialist label

    Democratic candidate for Vermont governor rejects socialist label

    A former energy executive in Vermont has taken a major step towards becoming the first ever transgender governor of a U.S. state. Hallquist will now face Vermont Governor Phil Scott, seen on April 11, 2018 in Montpelier.
    Paul Manafort declines to testify as defense rests

    Paul Manafort declines to testify as defense rests

    The case is being prosecuted by the special counsel investigating Russian interference in the 2016 US presidential election. Witnesses testified at trial that Calk pushed the loans through because he wanted a post in the Trump administration.
  • Priyanka Chopra, Nick Jonas make their engagement official

    Priyanka Chopra, Nick Jonas make their engagement official

    The engagement party - called a roka - is a chance for the couple to exchange gifts and makes the union of their families public. Both Priyanka and her beau declared their love for each other on their Instagram pages after the ceremony.
    Aretha Franklin,

    Aretha Franklin, "Queen of Soul", Dead at 76

    With a clip from the memorable performance , The Independent notes Franklin hits the song's deceptively hard high notes easily . We have felt your love for Aretha and it brings us comfort to know that her legacy will live on.
    S.Korea, DPRK agree to hold summit in Pyongyang in September

    S.Korea, DPRK agree to hold summit in Pyongyang in September

    The leaders of North and South Korea will hold their third summit in September, officials from the two countries announced Monday. US Ambassador to South Korea Harry Harris said Monday that it is still too early to consider declaring an end to the Korean War.
  • We Fought Hard For Unai Emery At Chelsea, Arsenal Star Insists

    We Fought Hard For Unai Emery At Chelsea, Arsenal Star Insists

    Eden Hazard has become one of Chelsea's all-time greats, and these statistics really highlight that fact. "Everybody knows what I have said after the World Cup".

    More US sanctions for Turkey if they don't obey

    Last week, Washington doubled steel and aluminum tariffs on Turkey over its continued detention of the US pastor Andrew Brunson . Al-Shehri said Ankara appeared to have blackmailed Qatar into supporting it. "Rates have gone up by 10 percent".

    Turkey slaps retaliatory tariff hikes on key USA products

    Pekcan said, according to the report , "the United States is an important trading partner, but it is not our only partner". Turkey's exports to the United States a year ago amounted to $8.7 billion, making it Turkey's fifth-largest export market.
  • Stevie Wonder at Aretha Franklin's bedside

    Stevie Wonder at Aretha Franklin's bedside

    Waldron, who worked for the singer from 2014 to 2016, told the Detroit television station he's maintained a friendship with her. According to CNN's Don Lemon, a source close to the singer has said the star was receiving hospice care at her home in Detroit.
    Farewell, Atal Bihari Vajpayee. PM Modi Among Thousands At Funeral

    Farewell, Atal Bihari Vajpayee. PM Modi Among Thousands At Funeral

    Besides, there will be no any celebration at any government establishments of the state for the next seven days. Kidney tract infection, chest congestion and urine output being on the lower side are the medical complaints.
    Trump Military Parade now Estimated to Cost $92 Million

    Trump Military Parade now Estimated to Cost $92 Million

    In September, Trump met with French President Emmanuel Macron and recalled how much he enjoyed watching the parade. It includes security, transportation of parade assets, aircraft, temporary duty for troops, as well as tanks.


Most liked

Pakistani lawmakers gather to elect Imran Khan as PM
The PPP and PML-N have dominated Pakistani politics for decades, governing several times in between periods of military rule. His only rival, Shahbaz Sharif of the ousted Pakistan Muslim League, won 96 votes, Qaiser said.

Trump, Obama, Clinton react to Aretha Franklin's death
Aretha Franklin must have understood early on what fame was like, as the daughter of the immensely popular Detroit preacher C.L. Franklin, whose sermons had made him a recording star.

Fortnite Android beta invites: all supported phones and devices
Since launching in an invite-only beta on March 15, Epic Games has grossed more than $180 million from Fortnite's iOS version. The game developer has opted to offer the hit video game, Fortnite Battle Royale , directly on its official website .

Air Quality Advisory for Metro Vancouver, Fraser Valley
If you are prone to breathing difficulties, you are advised to remain inside in a place that is cool and ventilated. As always, check with your health care provider for more specific questions and concerns.

Twitter Temporarily Restricts InfoWars' Alex Jones Account
Jones has only just today received a seven-day suspension from Twitter but the official InfoWars pages remain active on the Twitter platform.

Flooding: Nedumbassery airport closed for 4 days
Meanwhile, Union Home Minister Rajnath Singh spoke with Kerala CM Pinarayo Vijayan who apprised him of the current situation. Prime Minster Narendra Modi today asked the defence ministry to further step up relief and rescue operations across Kerala.

Omarosa Says Trump Is 'Obsessed' With Ivanka - Calls Relationship 'Sickening'
White House economists have apologised after press secretary Sarah Huckabee Sanders made an incorrect statement at a briefing. Williams asked, "Why did you repeat it?" Sanders replied, "Uhhh, I can't guarantee uhhh anything".

Lyric McHenry dead: EJNYC star dies aged 26 at 20 weeks pregnant
McHenry's sister Maya , who also appeared on EJ Johnson's reality show, was likewise at the birthday celebration. Police have not ruled out foul play, although they say there were no obvious signs of trauma on her body.

(3:11PM) Report Identifies More Than 1,000 Victims Of Priest Abuse
The grand jury identified 301 predator priests based on secret archives in each of the dioceses involving over 1,000 victims. James Porter , a MA priest who went to jail for molesting dozens of children, was ordered to seek retreat at St.

The Autocratic Origins of Turkey's Economic Crisis
The political and economic pressure from Washington caused the Turkish lira to collapse to a historic low against the U.S. dollar. Erdogan has remained defiant after Trump doubled tariffs on aluminum and steel imports from Turkey to 20% and 50%, respectively.

Zinedine Zidane Sets Sights On Premier League Move
Between 1993 and 2013, Scholes made 718 appearances for United, scoring 155 goals and winning 25 major honours. Instead Zidane will instead take a year off to relax following the mental stress he was under at Real Madrid.

Ben Stokes found not guilty of affray
Mr Stokes then allegedly knocked Mr Ali to the floor. "I just didn't want any trouble so I was backing away, trying to retreat". Stokes said he could not remember flicking his cigarette butt towards the gay men or directing a V-sign at Mr Cunningham.

New tape release symptomatic of Trump's 'chaotic' inner circle
Omarosa Manigault Newman's new book, " Unhinged ", must not be making the splash she expected it would. Manigault Newman says she considered the statement a "threat".

Aretha Franklin is in hospice care
Last year Franklin announced her plans to retire from touring in February 2017, so that she could more time with family. Later, he wrote that he spoke with Franklin and that she "is resting and surrounded by close friends and family".

Melania Trump: First Lady ‘can’t wait to DIVORCE Donald’
Pierson said flatly, "No Ed, that did not happen", after Ed Henry read Manigault's claims from page 149 of her book. He's not fooling anyone, is he?" he asked, before adding, "She's saying he's mentally declined.