The President of the United States, Donald Trump, proposed a radical change for the companies listed on Wall Street: the abolition of quarterly reports in favor of a half -yearly reporting. The announcement came through a post published on the Truth Social platform, where Trump claimed that the new model would allow companies to save money and, above all, would allow managers to focus more on the management of activities rather than on the compilation of close budgets.
Approval of the sec necessary
The measure, however, cannot be adopted unilaterally: it would in fact require the approval of the Securities and Exchange Commission (SEC), the Federal Supervisory Authority on the financial markets.
The transition from quarterly to the half -yearly reporting, in fact, would not require the approval of the congress and could be carried out through a vote of the century, where the republicans currently hold a majority of 3 to 1. It is estimated that it would take six from six to twelve months to complete the procedures necessary for the implementation of the reform.
The Chinese model
The president explained that the current system does not favor a long -term strategic vision, comparing it with the Chinese model. “China manages companies with perspectives of 50 or 100 years, while we base ourselves on the quarterly. It is not good,” said Trump, underlining how close deadlines can negatively affect corporate governance. Its proposal would therefore represent a significant change of step for the US market, historically accustomed to relying on quarterly as a reference point for analysts, investors and institutions.
The point of view of the century
According to a note from the TD Cowen investment bank, the move “could be consistent with the deregulating vision of the president of the sec paul Atkins” and, although not guaranteed, is considered a “relatively simple political victory”. The company estimated that the first official proposal should not arrive before 2026, but also stressed that for the first time, there is a concrete political bank. The long-term Stock Exchange (Ltse), a platform born to encourage long-term company strategies, would have already started interviews with the century and prepares to present a formal petition in favor of change.
Institutional bank
TD Cowen analysts estimate a 60% probability that the century decides to adopt the half -yearly reporting, with the tendency to a progressive increase in chances. In the past, attempts to reduce the frequency of financial communications had never found sufficient political support to transform into a regulatory priority. The direct intervention of President Trump therefore reports the theme in the foreground and could open the way to a reform capable of deeply modifying transparency and communication times on American markets.
