Press Releases

Today, the House Financial Services Committee is holding a Capital Markets Subcommittee hearing, led by Subcommittee Chair Anne Wagner (MO-02), to review how effective certain regulations are in ensuring competitive and dynamic equity markets.

Read Subcommittee Chairman Wagner's opening remarks as prepared for delivery:

"Good afternoon and thank you all for joining us today.

"The last time this subcommittee held a hearing on equity market structure, we examined the drastic and burdensome regulations put forward by former SEC Chair Gary Gensler. 

"Thankfully, those proposals did not take effect, and investors continue to enjoy fast, efficient, and fair markets. 

"Although equity market structure is complex and intricate, these rules impact investors and companies of all sizes. 

"There is no question that retail investors have benefited tremendously from the introduction of zero-commission trading. 

"Since it became the industry standard in 2019, zero-commission trading has driven a surge in the number of American households invested in our markets as well as the value of those investments. 

"Between 2023 and 2025, the volume of retail investments rose by nearly 50 percent.

"However, it has been over two decades since the SEC adopted the rules that still govern our market structure in Regulation National Market System, or “Reg NMS.” 

"In that time, technology has evolved, order routing has become more complex, and compliance costs have multiplied. Critics argue that Reg NMS stifles competition and innovation through increased government intervention. 

"As Chairman Atkins has observed, “Reg NMS gave the SEC an opening to substitute, indeed supplant, its own judgment for that of the marketplace.”

"Revisiting central tenets of Reg NMS such as Rule 611, also known as the “Trade-Through Rule,” will allow us to properly assess the effectiveness of market regulations and address any inefficiencies. 

"Does a growing number of exchanges increase competition or just increase compliance costs? 

"Are obstacles standing in the way of innovative new entrants into the market? Is Rule 611 securing the best outcome for investors? 

"These questions all deserve careful consideration. 

"Competitive and dynamic equity markets are directly tied to capital formation, and regulations should facilitate new offerings rather than throw sand into the market’s gears.

"Earlier this year, for the first time, U.S. equity trading eclipsed one trillion dollars in volume in a single a day, a remarkable testament to the strength and liquidity of our markets. 

"It shows exactly why companies from around the world choose U.S. exchanges for their public offerings. 

"Maintaining high liquidity and innovative technology is crucial to making our capital markets the best destination in the world for everything from IPOs to secondary offerings. 

"Twenty years in, it is time to consider how modernizing equity market structure requires updating Reg NMS, and I’m grateful Chairman Atkins has undertaken a comprehensive review to determine how these rules can better serve investors. 

"Because if regulations fail to evolve alongside today’s capital markets, investors will ultimately bear the price.

"I would like to thank our witnesses for their testimony today and I look forward to our discussion."

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