The Investor Advocate Report also included a report on the newly developed research initiative POSITIER (Policy Oriented Stakeholder and Investor Testing for Innovative and Effective Regulation). This investor testing tool is designed to, among other things, assess the effect on investors of proposed changes to Commission rules and identify policies that will improve outcomes for stakeholders. POSITIER collects data and uses analytics both for ex-ante testing of potential regulatory changes and ex-post evaluation and outcomes of regulatory change. The below illustration provides an overview of the process. By comparison to the Commission’s economic analysis efforts as well as the Commission’s request for investor feedback through the comment letter process, POSITIER can collect much more data that can be more informative in the rule-making process. The Report is available at https://goo.gl/QwTTtj.
This article first appeared in our newsletter, REVERSEinquiries Volume 2, Issue 1. To access the full newsletter, please click here.