SEC Chairman Identifies Guiding Principles

On July 12, 2017, newly appointed SEC Chairman Jay Clayton delivered a speech at the non-partisan Economic Club of New York wherein he set forth several high-level guiding principles for the agency. In general, these remarks focused on (i) ensuring protections for retail investors, (ii) positioning the SEC as a regulator which is able to evolve on pace with industry, and (iii) taking a more measured and effects-focused approach to rulemaking. In addition, Chair Clayton stated that he opposed any wholesale changes to the SEC's fundamental regulatory approach.

Underlying Mission: Focus on Retail Investors

On a global level, Chair Clayton cited the SEC's three-part mission of: (i) protecting investors; (ii) maintaining fair, orderly, and efficient markets; and (iii) facilitating capital formation. Furthermore, Chair Clayton stated that his analysis of whether the SEC is meeting its mission starts and ends with the long-term interests of the "Main Street investor."