Asked by Katherine Broussard on Jun 22, 2024

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The SEC issued regulation FD to help level the playing field between individual and institutional investors.

Regulation FD

Stands for Fair Disclosure, a rule passed by the Securities and Exchange Commission that aims to prevent selective disclosure by requiring publicly traded companies to disclose material information to all investors at the same time.

Institutional Investors

Entities such as pension funds, insurance companies, and endowments that invest large amounts of money into securities and real estate.

  • Understand the regulatory framework and incentives that guide financial disclosure and reporting.
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VP
Virali PatelJun 25, 2024
Final Answer :
True
Explanation :
Regulation FD (Fair Disclosure) was issued by the SEC to prohibit selective disclosure of material nonpublic information by public companies and to promote fair and equal access to that information for all investors, including individual investors.