Sponsors (22)
The bill strengthens protections and transparency around SEC-held adviser data to reduce leaks and improve market integrity, but it raises implementation costs, could slow some internal SEC processes, and leaves short-term compliance uncertainty for advisers.
Investment advisers and other financial firms will have stronger protections for sensitive proprietary data the SEC collects, reducing the risk of leaks or misuse of firm information.
Investors and taxpayers may benefit from improved market integrity because confidential adviser data is less likely to be disclosed improperly.
Financial firms and federal stakeholders will get a formal notice-and-comment rulemaking process (within one year), increasing transparency and stakeholder input on how sensitive data will be protected.
Taxpayers and market participants could face higher costs because the SEC will incur new administrative and compliance expenses to implement protections, which may be passed along.
Federal employees and supervisors may face slower internal information sharing and potential delays in enforcement or supervisory actions if tighter limits on staff access are implemented poorly.
Investment advisers may face compliance uncertainty because the bill leaves a broad definition of "sensitive" to the SEC, creating uncertainty until rules are finalized.
Based on analysis of 2 sections of legislative text.
Requires the SEC to adopt rules within one year to protect sensitive nonpublic proprietary information obtained from investment advisers, including access limits and safeguards.
Introduced November 19, 2025 by David Scott · Last progress November 19, 2025
Requires the Securities and Exchange Commission to write rules, within one year of enactment, to protect sensitive nonpublic proprietary information it obtains from investment advisers. The rules must cover when the SEC may request such information, require safeguards proportional to the sensitivity of the data, limit access to appropriate SEC staff, and prevent unlawful use or disclosure.