2023 Capital Markets Regulatory Outlook
This report highlights three key themes for firms to consider as they navigate the regulatory agenda in 2023. The first theme is regulatory churn, which refers to the ongoing development of new rules and regulations in response to emerging technology, outdated rules, and progressive topics. The SEC approved 39 proposals in 2022, creating new reporting requirements and expanding the scope of entities required to register with the SEC. The second theme is reinvigorated enforcement, as the number of enforcement actions against capital markets firms increased by 9% in 2022. Regulators are using existing rules to enforce in areas where new regulations are pending. The third theme is the regulatory horizon, which includes proposals related to T+1 Amendments to the definition of broker-dealer, Best execution Market structure proposals, and Reinvigorated enforcement. The report also mentions the impact of digital assets and the regulatory horizon on electronic communications, branch office inspections, complex products, and looking forward.
