9.15.2009 The SEC’s Investor Advisory Committee announced that three subcommittees have been formed to address specific categories of regulatory issues as the SEC tackles its wide-ranging agenda. The subcommittees will focus on investor education, investor protection, and shareholder voting and corporate governance. The three subcommittees are:

  • Investor Education Subcommittee
    • Chair: Dallas Salisbury (President and CEO, Employee Benefit Research Institute)
    • Focus: matters related to financial literacy, the efficacy of layered educational resources that may permit investors to access information at varying levels of detail reflecting their needs, the ways that issuers and boards of directors communicate with investors, and the types of technology that can be utilized for education.
  • Investor as Purchaser Subcommittee
    • Chair: Mercer Bullard (Founder and President of Fund Democracy, Inc., and Associate Professor of Law, University of Mississippi School of Law)
    • Focus: examining the needs of investors when they purchase specific products (mutual funds, hedge funds, money market funds) and services (brokerage, investment advisory, and financial planning). This subcommittee also will consider the fiduciary duty owed to investors by those who provide investment advice, as well as issues related to pre-sale and other disclosure, intermediary fees and compensation practices, arbitration, and technology.
  • Investor as Shareholder Subcommittee
    • Chair: Stephen Davis (Executive Director of Yale School for Management’s Millstein Center for Corporate Governance, and board member of Hermes Equity Ownership Service)
    • Focus: reviewing proxy solicitation and disclosure issues, proxy voting and process (including the role of proxy advisory firms), majority voting, Regulation FD, executive compensation practices, the responsibilities of shareholders, international issues, and technology related to shareholder communications and voting.  

Click http://www.sec.gov/news/press/2009/2009-197.htm to access the release.

Click http://www.sec.gov/spotlight/investoradvisorycommittee.shtml to access the Committee’s Web site.