September 13, 1991
TO: INVESTMENT ISSUES COMMITTEE NO. 14-91
RE: COMMISSIONER ROBERTS TALK ON TRANSPARENCY IN EQUITY AND
DEBT MARKETS
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Attached for your information is a copy of remarks that
were recently given by SEC Commissioner Roberts on the subject of
price discovery in the U.S. equity and debt markets.
Commissioner Roberts' talk noted that, while the equity markets
traditionally have provided price transparency, new developments
-- including the growth of proprietary trading systems and the
routing of trades overseas -- may require the SEC to take action
to compel a grater degree of public reporting of quotations.
Commissioner Roberts also stated that the nation's debt markets
lack the disclosure and price discovery mechanisms needed in
modern efficient markets; however, he noted that there have been
recent developments to increase the transparency in the markets
for high yield bonds and government securities.
Craig S. Tyle
Associate General Counsel
Attachment