Rep Cmte Financial Services
Committee Examines SEC Agenda and Budget
Washington, Nov 18 -
The Financial Services Committee held a hearing today to conduct oversight of the Securities and Exchange Commission (SEC) with SEC Chair Mary Jo White.
Committee members discussed the SEC’s budget, which has increased by 64 percent since Fiscal Year 2005, as well as capital formation for small and medium-sized businesses. Although promoting capital formation is a specific mandate in the SEC’s mission, it often receives a low priority from the SEC. Small and medium-sized companies are at the forefront of technological innovation and job creation, but they often face significant regulatory obstacles in accessing capital markets.
Members also asked Chair white about the proposed “fiduciary rule” from the Department of Labor that will make retirement advice unavailable or unaffordable for low and moderate income Americans. The SEC is the agency with the expertise to regulate the conduct of persons providing investment advice and effecting securities transactions, not the Department of Labor. The Department of Labor should not act to define how an investor receives financial advice.
“This Committee is committed to conducting vigorous oversight of the SEC because the SEC’s three-part mission is an important one as Americans continue to struggle through an economy that is under-performing. It is on their behalf that this Committee acts to ensure the SEC protects investors, maintains fair, orderly and efficient markets, and promotes capital formation – key ingredients in growing a healthy economy with more opportunity for all,” said Chairman Jeb Hensarling (R-TX) during his opening statement.