| WASHINGTON, March 1
WASHINGTON, March 1 Public companies will be
required to make it easier for investors to locate exhibits
attached to their corporate financial filings by including
hyperlinks, under a new rule slated for adoption on Wednesday by
the U.S. Securities and Exchange Commission.
The new rule is widely viewed as a common sense measure that
is long overdue, and it is not expected to spark any controversy
among the SEC's two commissioners, Acting Republican Chairman
Mike Piwowar and Democrat Kara Stein.
Under current rules, companies are required to provide a list
of exhibits, such as their bylaws and underwriting agreements
and where they can be located.
But without hyperlinks, it can be hard for investors to
quickly and easily locate the documents.
The final hyperlink rule, which is slated to take effect in
September, is among a raft of other proposals unveiled
Wednesday, with most geared toward modernizing how public
companies disclose information to investors.
One such proposal, for instance, updates 30-year-old
guidance to the banking sector on certain disclosures.
A second proposal, meanwhile, would require companies to use
inline XBRL, an open source software designed to make it easier
to view, navigate and search financial data.
Companies already use XBRL, a software that labels financial
statements with computer-readable tags that can be read like
barcodes. By requiring inline XBRL, companies will then embed
that structured data into the financial statements.
In addition to the various disclosure proposals, the SEC
also proposed a measure that would require brokers who
underwrite municipal bonds to ask municipalities for additional
disclosures related to bank loans and other financial
(Reporting by Sarah N. Lynch; Editing by Chizu Nomiyama)