In order to avoid insider trading, the SEC (Securities and Exchange Commission) has adopted a new rule called ________ that requires publicly traded companies to release information to everyone in a timely manner, rather than just to a few persons.
A) Insider Trading Phenomenon
B) Regulation FD (Fair Disclosure)
C) Red Herring Regulation
D) PDI (Public Display of Information Act)

Question

Quizplus · Accepted Answer

The new rule adopted by the SEC to avoid insider trading is called Regulation FD (Fair Disclosure), which requires publicly traded companies to release information to everyone in a timely manner, rather than just to a few persons. Options A, C, and D are not real regulations or laws.

In Order to Avoid Insider Trading, the SEC (Securities and Exchange