Getting your player ready...
WASHINGTON — The Securities and Exchange Commission plans to seek power to force better disclosure by borrowers in the $3.7 trillion municipal bond market, which is governed by laxer rules than those for businesses.
Following a two-year review, the SEC said in a report released Tuesday that Congress should give it greater authority to set standards for what municipalities must disclose to investors and to ensure that they comply. It also recommended ending exemptions that allow businesses that borrow in the municipal market to provide less information than they would if they raised money in the corporate debt market.
The SEC’s release marks the latest effort to overhaul the market.
