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The SEC announced that its Investor Advisory Committee will meet next Thursday, March 2, and one of the items on the agenda will be a panel discussion examining the growth of private markets relative to the public markets. The agenda for the meeting states:

Panelists will explore the growth of the private markets and the factors contributing to that growth (performance, market dynamics, etc.). The panel will also look at the implications of this growth on decisions made by operating companies and investors, and if there are reasons to consider modifications to the existing disclosure and regulatory framework.

Concerns about the growth of private markets has been a topic of interest for the SEC over the past two years. As I noted in the blog earlier this month, SEC Commissioner Caroline Crenshaw recently gave a speech at the Northwestern Securities Regulation Institute during which she noted several areas of concern with Regulation D, and back in 2021, then Commissioner Allison Herren Lee gave speech at SEC Speaks outlining concerns with the growth of private markets and suggesting that the Commission revisit the definition of “held of record” in Exchange Act Rule 12g5-1. Both the “held of record” rulemaking and a rulemaking to revisit Regulation D are listed in the proposed rule stage in the SEC’s most recent Reg Flex Agenda. The Investor Advisory Committee’s consideration of the topic may mean that the Commission is moving closer to rule proposals in these areas.

The Investor Advisory Committee will also hold a session titled “Panel Discussion Regarding the Oversight of Investment Advisers: Can Regulators Keep Up with Growth in the Industry” and a session titled “Panel Discussion Regarding the Open-End Fund Liquidity Risk Management/Swing Pricing Rule Proposal.”

– Dave Lynn