Trump renews push to end companies’ quarterly reports
President Donald Trump pushes regulators to loosen the declaration requirements for public companies, echoing his efforts to end the quarterly profits when his first mandate in the White House.
In a social position of truth, Trump urged the commission of securities and exchanges to move away from demanding that companies go on a quarterly basis and rather adopt a semi -annual schedule.
Less frequent reports, said Trump, “saves money and would allow managers to focus on correct management of their businesses”.
The quarters of the quarter indicate that this could stimulate the number of listed companies in the United States, reversing a downward trend in recent years. But investors are counting on regular reports for transparency.
The United States has forced public companies to publish profits every three months since 1970. Any effort to reduce the frequency of these reports is likely to deal with shareholders’ opposition and other criticisms, which argue that change could threaten the transparency and volatility of the risk market.
Trump had also called for the dry to adopt half -yearly reports during his first mandate, although his proposal was not materialized. The current leadership of the regulator, including President Paul Atkins, criticized the disclosure that companies consider a burden.
The dry did not immediately respond to a request for comments.
In a sign of growing momentum behind Trump’s proposal, the long -term scholarship, a place of action negotiation, said last week that it intended to ask the dry to allow companies to declare results twice a year instead of quarterly, reported the Wall Street Journal.
Veteran investor Warren Buffett and the Director General of Jpmorgan Chase, Jamie Dimon, questioned the advantages of quarterly financial guidelines, in particular, warning that the accent on short -term profits is at the expense of the long -term strategy.
In his article on Monday, Trump suggested that China’s declaration requirements for public companies were adapted to businesses, compared to those in the United States.
“Have you ever heard the statement that” China has a 50 to 100-year view of the management of a business, while we run our businesses on a quarterly basis ??? “Not good !!!”, wrote Trump.
Allowing companies to report every six months would put the United States in accordance with practices in the United Kingdom and in several countries of the European Union.
