WASHINGTON — The Securities and Exchange Commission is expected to propose Congress give it authority to set primary and secondary market disclosure standards for municipal issuers, sources said.
The commission also will propose requiring “alternative trading systems” to report the offers and bids they receive on muni bonds. This trade information, which would much more expansive than the data currently disclosed to investors, would be aggregated and made available to retail and other investors on a delayed basis, such as the day after trades are executed, the sources said. ATS’ are online systems that match trade orders from broker-dealers and institutional investors. The SEC regulates them.