A recent Supreme Court ruling has gotten a lot of attention for how it could reshape government. What’s gotten much less attention is how it could affect markets.
As finance professors, we find this at least as important. The Supreme Court’s 6-3 ruling in SEC v. Jarkesy could make it more challenging for the Securities and Exchange Commission – the U.S. agency that regulates securities markets – to fight fraud. And any time the SEC loses power, as it just did, market trust and transparency may be at risk.
