SEC Proposes Improvements to Regulation S-P

The SEC has issued a proposed rule, Regulation S-P: Privacy of Consumer Financial Information and Safeguarding Customer Information, which would amend Regulation S-P to “enhance the protection of customer information.” The amendments include “requiring broker-dealers, investment companies, registered investment advisers, and transfer agents to provide notice to individuals affected by certain types of data breaches that may put them at risk of identity theft or other harm.” One of the primary goals of the proposal is to “update the rule’s requirements to address the expanded use of technology and corresponding risks since the Commission originally adopted Regulation S-P in 2000.”

Comments on the proposed rule are due 60 days after the date of its publication in the Federal Register.

For more information, see the press release and fact sheet — as well as statements by SEC Chair Gary Gensler and Commissioners Caroline Crenshaw, Jaime Lizárraga, Hester Peirce, and Mark Uyeda — on the SEC’s Web site.