A long-delayed set of rules from the Securities and Exchange Commission aimed at creating more transparency for asset-backed securities could impose new demands critics fear will open companies to data privacy pitfalls, create new legal liabilities, and hamper one of the biggest capital market segments.
The current proposal on the table from the SEC calls for issuers to release detailed information about the underlying securities in an offering, offer investors more time to review the prospectus, require executive attestation of the prospectus, and impose the same disclosure requirements for public and private offerings.
