Trump Asks SEC To Study Ending Quarterly Earnings For Public Companies

Friday, August 17th 2018, 11:45 am
By: News 9

President Donald Trump said Friday that eliminating a requirement that public companies report their earnings to the Securities and Exchange Commission every quarter could help boost business growth.

Abolishing the rule would "allow greater flexibility & save money" for businesses, Mr. Trump tweeted. He added that he has asked the SEC to examine moving to a six-month reporting schedule, instead of the current system of reporting corporate results every three months. 

The idea came from an unnamed "top business leader," Mr. Trump wrote, although the idea has been bandied around for decades. Many U.K. businesses have shifted to a six-month reporting schedule after the country's regulators eased requirements for quarterly reports. 

Famed investor Warren Buffett and JP Morgan Chase CEO Jamie Dimon earlier this year voiced support for ending quarterly reports, saying that companies that focus on hitting their numbers may make decisions that hurt their long-term prospects, such as delaying investments.

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