The leading knowledge platform for the financial technology industry
The leading knowledge platform for the financial technology industry

A-Team Insight Blogs

SEC Confirms US Companies Required to File Financial Reports Using XBRL in 2009

Share article

Originally appeared in MiFID Monitor

The US Securities and Exchange Commission (SEC) has confirmed that from mid-next year large public corporations and mutual fund companies will be required to submit their financial reports in extensible business reporting language (XBRL). The move, which was initially proposed in May, is aimed at making it easier for investors to read and analyse the data provided, says the regulator.

The SEC voted 4-1 to require 500 of the largest public companies to begin filing financial reports in XBRL in June next year. The rest of the companies using accelerated filing will be phased in over a two year period and a final group will be moved over in 2011, according to the regulator.

The regulator also voted 4-1 in favour of requiring mutual funds to file their risk and return information using XBRL to make it easier for investors to analyse funds’ performance, risk and fees. These funds will now be required to move over to XBRL by 2011.

SEC chairman Christopher Cox has been championing the introduction of XBRL for some time and reckons it is a giant step forward in the regulator’s mission to achieve full disclosure. “Data analysis is faster and more accurate than document analysis and this move will help today’s markets recover from a dearth of confidence,” he says.

XBRL has also been mooted for the corporate actions sector and the DTCC, Swift and XBRL are currently working on plans to introduce it to the issuer messaging space in the future.

Related content

WEBINAR

Recorded Webinar: Last minute preparations for SFTR: What still needs to be done and are we ready?

The regulation clock is ticking. Financial firms, especially those subject to Phase I of implementation, are well aware of the impending April 2020 deadline for the Securities Financing Transactions Regulation. The question is, are they ready? Tactical, i.e painful, approaches to compliance won’t be good enough. A strategic plan of attack is necessary to combat...

BLOG

SmartStream RDU Launches API to Get Firms Over the SFTR Finish Line

Transaction Lifecycle Management specialist SmartStream has extended its Reference Data Utility (RDU) SFTR service to include a new API targeting firms who need fast access to the technology and data needed need to meet ESMA’s delayed SFTR reporting deadline of July 13. The API gives access to new tools to validate reference data content during...

EVENT

RegTech Summit Virtual

The RegTech Summit Virtual which took place in June 2020 was a huge success with over 1,100 delegates registered. We are currently working on our plans for 2021 and we hope to be back with an in-person event. Whatever the future holds you can guarantee our 2021 event will be back with an exceptional guest speaker line up of Regtech practitioners, regulators, start-ups and solution providers to collaborate and discuss innovative and effective approaches for building a better regulatory environment. Can't wait until 2021? make sure you sign up to our RegTech Summit Virtual, November 2020. More info...

GUIDE

Data Lineage Handbook 2019

Welcome to our latest handbook on data lineage, a critical concern for data managers working to achieve regulatory compliance, deliver operational gains, and provide meaningful value to the business. The handbook covers the complete scope of data lineage, with a view to helping you win management buy-in and budget, decide whether to build or buy...