Incidents and accidents notwithstanding, those involved in calls with and modelling for analysts and rating agencies are well aware of these rules. At least in my firm there is proper compliance coaching and continual awareness programmes about closed periods and internal continuity on what is disclosed publicly and when. Schedules are transparent and analyst calls in audio or transcripts are made available. Industry professionals even read these of competing firms, especially when there's trouble or a lol to be had. There's a lot that can go wrong, intentionally or not, but this part is quite a managed process.
Some companies like Microsoft were highly rigorous in managing information disclosure, and also in maintaining a lengthy quiet period. I could often hear investor relations at MSFT in the backgrounds of calls flipping through their internal playbooks of what they can and cannot say. Some other companies weren't as structured. I can't speak for how corporates managed disclosures internally, but I managed my own risk by typically publishing right after e.g. a corporate access event to reduce the risk of selective disclosure of material information.
I saw a handful of Reg FD filing updates and stock halts when new information was accidentally put out there by management. That was always embarrassing.
Short answer: reg fd requires companies to disclose information material to investors to all investors. The previous post is suggesting that the close work with the bank analysts is conveying material information without proper disclosure.
My hunch is that the legions is compliance lawyers at both the banks and at the companies have deemed this to be within the bounds of the regulation, but we’ll see if the SEC/US Attorneys agree.
Where they aware everyone got bailed out in 2008, with nearly zero consequences?
The regulation you are expecting does not exist, in practice. Yes they wrote it down in a book. No, it's not real. It's as though I'm in a world of finance believers and I'm a finance atheist.
wjnc|6 years ago
_sword|6 years ago
I saw a handful of Reg FD filing updates and stock halts when new information was accidentally put out there by management. That was always embarrassing.
wilg|6 years ago
OldManAndTheCpp|6 years ago
amiga_500|6 years ago
Where they aware everyone got bailed out in 2008, with nearly zero consequences?
The regulation you are expecting does not exist, in practice. Yes they wrote it down in a book. No, it's not real. It's as though I'm in a world of finance believers and I'm a finance atheist.
It does not exist.