The Securities and Exchange Commission is reviewing a proposed rule change by The Depository Trust Company (DTC) concerning their New Issue Information Dissemination Service (NIIDS). The proposal aims to reverse a past rule from 2014 that was never implemented, which intended to transfer the dissemination of data from DTC to an affiliate. It also aims to update the description of NIIDS to give a clearer explanation of its role and functions. The changes are intended to enhance clarity without affecting the actual service, and comments on this proposal are being solicited from the public.
Simple Explanation
The people who help make sure important money information is shared want to erase an old plan they never used and make it clearer how their service works, without changing how it actually works. They're asking other people what they think about this plan.