The Securities and Exchange Commission (SEC) is proposing a new exemptive order that would allow broker-dealers to publish quotations for certain securities without meeting existing information review and recordkeeping requirements. This proposal aims to create an "expert market" for sophisticated investors, such as institutional buyers and accredited investors, who can assess investment risks without public information. The order suggests that only these sophisticated investors have access to the market, and it sets out conditions to ensure the quotes remain out of reach for the general public, thus protecting less savvy investors from potential fraud. The SEC is seeking feedback on this proposed change, inviting comments until February 11, 2021.
Simple Explanation
The SEC wants to create a special market where only really smart and experienced investors can buy or sell certain stocks without having to show a lot of information, trying to keep regular folks from getting tricked or confused. They are asking people to share their thoughts on this idea by February 11, 2021.