2026-05804NoticeWallet

Rule 102 Renewal: Wall Street's Info Overload Continues

Published Date: 3/25/2026

Notice

Summary

The SEC is asking for comments to keep collecting info under Rule 102, which stops certain people from buying securities during specific times. About 1,200 folks spend around 2,100 hours and $343K yearly to follow this rule. They want your thoughts on how to make this easier and clearer, so jump in before the deadline!

Analyzed Economic Effects

3 provisions identified: 1 benefits, 2 costs, 0 mixed.

Rule 102 stops certain purchases

If you are a distribution participant, an issuer, or a selling security holder, Rule 102 of Regulation M prohibits you from engaging in purchasing activity at specified times during a distribution of securities. The rule also lists exceptions such as an exclusion for actively traded reference securities and the use of policies that maintain information barriers between affiliates.

Paperwork burden and compliance cost

About 1,194 respondents spend a total of approximately 2,094 hours per year complying with Rule 102, with each respondent filing about 1 response that takes on average 1.754 hours. The SEC estimates aggregate internal compliance costs of $343,416 per year, which is about $287.62 per respondent annually.

Exceptions allow some trading during distributions

Certain entities covered by Rule 102 may rely on exceptions — for example, an exclusion for actively traded reference securities or by maintaining policies that create information barriers between affiliates — to avoid the purchase prohibition during distributions.

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Key Dates

Published Date
3/25/2026

Department and Agencies

Department
Independent Agency
Agency
Securities and Exchange Commission
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