We document that corporate financial misconduct has significant consequences for politicians' election outcomes and, in particular, those politicians that serve on U.S. congressional committees with SEC-relevant oversight responsibilities (“SEC-relevant politicians”). These politicians...

We exploit the landmark U.S. Supreme Court decision of Kokesh v. SEC [2017] as a unique identification strategy to investigate the value of securities law enforcement. The Kokesh decision was an unanticipated legal change that limits the SEC's ability to impose disgorgement—its most potent...

In this article, we discuss and analyse the main components of a digital financial supervisory system with supervisory technology (SupTech). This work offers a new SupTech definition and configures the digital pillars of a financial supervisory system. We contribute to the TECHs in Finance...

This study examines the effect of SEC regulations on firm valuations and corporate policies over the past 50 years. I build a time-varying and industry-specific measure of SEC regulatory restrictions, based on the universe of effective SEC rules and machine-learning relevance of the regulations...

Manipulative communications touting stocks are common in capital markets around the world. Although the price distortions created by so-called "pump-and-dump" schemes are well known, little is known about the investors in these frauds. By examining 421 "pump-and-dump" schemes between 2002 and...

The use of evidence and economic analysis in policymaking is on the rise, and accounting standard setting and financial regulation are no exception. This article discusses the promise of evidence-based policymaking in accounting and financial markets as well as the challenges and opportunities...

In an attempt to address a lack of diversity on corporate boards, the Securities and Exchange Commission (SEC) passed a rule in 2010, requiring firms to disclose whether they consider diversity in the director nomination process, and if so, how the policy's effectiveness is assessed. The rule...

We examine how Securities and Exchange Commission (SEC) enforcement varies at fiscal year- end. Using a sample of over 12,000 SEC enforcement actions, we find that the number of case filings in September, the final month of the SEC’s fiscal year, is approximately double the average of other...

In addition to regulation of securities market issuers, the Securities & Exchange Commission (SEC) is also responsible for regulation of those entities that provide the networks, either electronic or physical, that enable the functioning of our securities markets. On February 9, 2022, the...

As the U.S. Securities and Exchange Commission considers appropriate “ESG” disclosure mandates, the Financial Economist’s Roundtable contributes to the debate with a statement summarizing its policy discussion. The FER believes financial regulators should limit mandates to matters that...