2026-11129NoticeWallet

SEC Extends Penny Stock Warning Rule With No Changes

Published Date: 6/3/2026

Notice

Summary

The SEC wants to keep protecting investors from tricky penny stock sales by extending the rules that make brokers share important warnings before selling these risky stocks. About 162 broker-dealers must keep records and wait two days before making a sale, helping customers make smarter choices. This extension keeps the rules in place with no new costs or changes, so everyone stays safe and informed.

Analyzed Economic Effects

5 provisions identified: 3 benefits, 2 costs, 0 mixed.

Must give penny-stock disclosure

Rule 15g-2(a) requires a broker-dealer to give you a penny stock disclosure document containing the information in Schedule 15G and to get your signed and dated acknowledgement before making your first penny stock transaction.

Two-business-day waiting rule

Rule 15g-2(b) bars a broker-dealer from making a penny stock sale for your account less than two business days after the broker sends you the penny stock disclosure document.

Three-year acknowledgement recordkeeping

Rule 15g-2(c) requires broker-dealers to keep a copy of a customer's written acknowledgement for at least three years after the disclosure was provided, with the first two years kept in an accessible place.

Estimated compliance time burden

The Commission estimates about 162 broker-dealers engage in penny stock transactions, each averaging 156 new penny-stock customers per year; aggregate annual burdens are listed as 421.2 hours (mailing for 81 firms), 210.6 hours (electronic delivery for 81 firms), 842.4 hours (recordkeeping for 162 firms), and 210.6 hours (additional information mailing).

Customers can request extra info

Rule 15g-2(d) requires a broker-dealer, upon a customer's request, to provide a copy of certain information from the Commission's website; the SEC estimates about 25% of customers (39 per year per firm) request this information.

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Key Dates

Published Date
6/3/2026

Department and Agencies

Department
Independent Agency
Agency
Securities and Exchange Commission
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