SEC’s Decision on Semiannual Reporting Will Take Time-
As US public companies await the SEC’s next move on its proposal to allow voluntary semiannual reporting, regulators are signaling that the sheer volume of public feedback will slow the rulemaking process.
Earlier news reports indicated that a decision would be coming by end of this year, but SEC Chief Accountant Kurt Hohl now doubts that it will happen. Speaking at an AICPA Conference in Washington on September 14, 2026, Hohl said the unprecedented number of responses the agency must review will make that unlikely.
When asked by Thomson Reuters whether the SEC could finalize the proposal quickly, Hohl said: “We have 280,000 comments; we’ve got to make sure that we address them all,” adding that the SEC’s decision may be announced next “April or May sometime…[but] depends. A lot of variables there.”
According to Thomson Reuters Checkpoint News, the vast majority of those comments were signed by individual retail investors; many mobilized through advocacy campaigns opposing reduced reporting frequency.
Professional groups such as the CFA Institute and the Council of Institutional Investors also urged the SEC to retain quarterly reporting, citing concerns about transparency, comparability, and market efficiency.
The CFA Institute’s global survey of more than 2,500 respondents found strong resistance to allowing companies to report semiannually. Sixty-two percent of respondents opposed replacing quarterly reporting, 63% said quarterly reporting’s benefits exceed its costs, and about 70% opposed giving companies flexibility to choose their reporting cadence. Nearly 85% expressed concern that optional reporting would impair comparability across companies.
For now, companies and audit committees must continue preparing quarterly filings as they await further direction from the SEC.
The SEC’s Division of Economic and Risk Analysis (DERA) reported a sharp rise in initial public offerings (IPOs) during the first half of 2026, reflecting what officials describe as strengthening U.S. capital formation.
Newly released market statistics show 208 IPOs raising more than $137 billion in the first six months of 2026. That is up from 180 IPOs, raising over $27 billion in the first half of 2025. The figures represent a 16% increase in IPO volume and nearly a 400% surge in proceeds.
Follow‑on registered offerings also climbed, with 557 offerings raising more than $111 billion, compared with 505 offerings raising nearly $84 billion a year earlier; an increase of roughly 10% in volume and 33% in proceeds.
“DERA’s latest data highlight the continued strengthening of U.S. capital formation under Chairman Atkins,” said Dr. Joshua T. White, DERA’s Chief Economist.
Since taking office, Atkins has repeatedly emphasized his goal of making U.S. public markets more attractive for issuers, warned that “regulatory creep” has discouraged companies from going public and called for disclosure rules rooted in “financial materiality”.
To access the SEC’s Statistics & Data Visualizations Page see:
SEC Moves to Broaden Accredited Investor Qualifications
The SEC has proposed a series of amendments aimed at expanding “responsible retailization” of private markets, including a major change that would allow more individuals to qualify as accredited investors.
Currently, investing in private offerings such as PE funds, venture capital and hedge funds require that an investor be accredited.
The SEC’s Division of Corporation Finance recommended issuing five additional pathways for individuals to demonstrate financial sophistication, beyond what has traditionally been wealth‑based thresholds.
Under existing rules, an individual generally qualifies as an accredited investor if they meet any of these tests:
Net worth over $1 million, alone or with a spouse, excluding the value of their primary residence.
Income over $200,000 individually, or $300,000 with a spouse in each of the prior two years, with a reasonable expectation of reaching the same level in the current year.
Hold certain financial credentials in good standing, including a Series 7, Series 65, or Series 82 license.
Be a director, executive officer, or general partner of the company offering the securities, or qualify under certain private-fund or family-office categories.
The SEC is considering new qualifying pathways:
Passing a forthcoming FINRA accredited investor examination
Holding a U.S. Certified Public Accountant (CPA) license
Holding a Chartered Financial Analyst (CFA) charter
Holding a Certified Financial Planner (CFP) certification in the United States
Holding a FINRA Investment Banking Representative (Series 79) license
Holding a FINRA Research Analyst (Series 86/87) license
The SEC proposal comes as investor demand for private market opportunities continues to grow, and as the Commission seeks to balance broader access with safeguards against fraud and high‑risk investments.
In a statement delivered at the SEC’s open meeting on Sept. 30, 2026, SEC Chair Paul Atkins said the Commission must ensure that accredited investor status “is not limited solely to individuals satisfying financial thresholds,” emphasizing that wealth alone is not the best measure of an investor’s ability to assess risk.
He noted that early‑stage private investments can offer meaningful wealth‑building opportunities but also carry fewer protections than public markets, requiring careful calibration of eligibility standards.
Public comments on the accredited‑investor notices and proposed amendments will remain open for 60 days following publication in the Federal Register.
For more information on specific new qualifying pathways, see these links:
California’s SaaS Sales Tax Begins January 1, 2027
Governor Gavin Newsom signed Senate Bill 122, as part of California’s 2026-2027 budget. Beginning January 1, 2027, the definition of tangible personal property in the Sales and Use Tax Law will be expanded to include digital products and any copyright or patent interests associated with those digital products.
As a result, retail sales of digital products in California or the storage, use, or other consumption in California of digital products purchased from any retailer may be subject to sales and use tax, regardless of how it is delivered (physical media, electronic download, or remote access).
This new law generally affects:
Sellers of prewritten computer software
Prewritten Software-as-a-Service (SaaS) providers
Businesses that license or provide remote access to prewritten software
Purchasers of digital products
The state estimates the change will add about $900 million to the State general fund and raise $1.1 billion in local sales tax revenue annually.
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