In a move to curb excessive risk-taking on Wall Street and the influence of credit ratings, the Securities and Exchange Commission has voted in support of rules outlined in the Dodd-Frank Act.
The rules voted on would force top executives at large firms to wait at least three years before receiving their annual bonuses. Financial firms with more than $50 billion in assets, and broker-dealers and investment advisers with more than $1 billion in assets would have to comply.
The SEC has also voted on a move that would eliminate the requirement that money-market funds only invest in securities with credit ratings, having the funds assess the securities themselves.
The public will have 45 days to comment once the proposed rule is published.
With the Associated Press