In a significant policy development that could impact U.S. financial markets, the Securities and Exchange Commission (SEC) on Thursday proposed a new set of rules aimed at tightening disclosure requirements for insider trading by corporate executives. The proposed reforms would shorten the filing deadline for reporting insider stock trades from two business days to just one and would mandate more detailed information about the nature and timing of such transactions. SEC Chair Gary Gensler stated that the move is part of the agency's broader push to increase market transparency and restore investor confidence after a series of high-profile corporate scandals and suspicious trading patterns. “Investors deserve to know when executives are buying or selling shares in their own companies. These proposed changes will help ensure that the public has timely and meaningful information to make informed investment decisions,” Gensler said in a press briefing. The announcement triggered immediate reactions across Wall Street, with shares of several large-cap tech and biotech firms—sectors often scrutinized for insider activity—experiencing modest declines. Analysts say the proposed rule changes could lead to more cautious behavior by corporate insiders, potentially reducing the volume of executive stock sales and reshaping how companies structure compensation plans. Investor advocacy groups lauded the proposal as a necessary step to close regulatory loopholes. “This change is long overdue,” said Barbara Roper, Director of Investor Protection at the Consumer Federation of America. “It brings much-needed sunlight to a part of the market that has been operating in the shadows.” However, corporate lobbyists and some business leaders have expressed concerns, arguing that the new rules could lead to overregulation and inadvertently deter executives from investing in their own companies. “The SEC must strike a balance between transparency and practicality,” said John Beresford, policy director at the U.S. Chamber of Commerce. “Requiring same-day disclosures may create compliance burdens without delivering significant benefits.” The proposal is now open for a 60-day public comment period, after which the SEC will decide whether to finalize the rule or modify it based on stakeholder feedback. If enacted, the changes would mark one of the most significant updates to insider trading disclosure rules in over a decade. Market analysts are closely watching the development, noting that increased regulatory scrutiny—combined with upcoming corporate earnings reports—could inject short-term volatility into equities, particularly in sectors with high executive stock ownership.