SEC Defers Creation of Dodd-Frank Mandated Investor Advisory Committee

Citing budgetary concerns, the SEC has deferred the creation of the Investor Advisory Committee mandated by Section 911 of Dodd-Frank. The Act requires the creation of an Investor Advisory Committee within the SEC and authorizes appropriations for its implementation and operation. The committee is designed to advise and consult with the SEC on regulatory priorities and issues regarding securities products, trading strategies, fee structures and the effectiveness of disclosures, as well as initiatives to protect investor interests and promote investor confidence. Late last year, due to budgetary uncertainty, the SEC has put on hold the creation and staffing of the Office of Whistleblower Protection and four other new Offices mandated by the Dodd-Frank Act.