US President Donald Trump said on Friday he has asked the U.S. Securities and Exchange Commission to study the impact of allowing companies to file reports with the financial regulator every six months instead of every quarter.
He said that after meeting with business leaders he had asked the US Securities and Exchange Commission to investigate making such a change.
"That would allow greater flexibility & save money", Trump said in a tweet.
Trump said he got the idea after speaking with "some of the world's top business leaders".
The SEC consists of five commissioners appointed by the president, although there now are only four in place, three named by Trump.
"I asked [the leaders] what it is that would make business (jobs) even better in the U.S.", Trump tweeted.
Eliminating the quarterly reporting requirements could also lead investors to fill the information vacuum by relying more heavily on rumors and off-the-cuff remarks made by company executives, corporate governance experts say.
Tesla shares fall as Musk says stress takes toll
He also said Tesla has moved past its most hard challenges, but "the worst is yet to come" for Musk personally. FBN's Stuart Varney on the fallout from Tesla CEO Elon Musk's tweet about taking the company private .
Rescue ship stripped of flag amid dispute over migrants stranded at sea
Both Spain and Italy appear unwilling to accept a new group of 141 migrants rescued by the Aquarius boat on Friday. The other 116 migrants, 67 of whom are unaccompanied minors, were picked up in a separate operation.
Pregnant reality star found dead on Bronx sidewalk, reports say
According to published reports, McHenry once worked on a reality show about fashion and social issues on the E! cable network. At McHenry's California home, Radar Online was told of her mother Jennifer's reaction to the death from family friend, Pat .
SEC spokesmen didn't immediately respond to a request for comment.
Nooyi confirmed she had talked to Trump about the change of schedule.
The proposal would mean rethinking a cornerstone of the country's accounting system since the Great Depression: Every three months, publicly traded companies must offer a detailed financial picture - including their revenue and profits - to shareholders.
Tesla chief executive Elon Musk also cited the issue when explaining why he has launched a surprise effort to take the $50 billion auto company private. The U.S. enacted quarterly reporting in. But quarterly reports on results are distinct from the so-called earnings guidance that company executives provide as a forecast.
The commander in chief's sentiments stirred up an ongoing debate, which has seen leaders of publicly traded firms, on one side, complain of the pressures - stoked by quarterly earnings releases and conferences calls - to meet short-term goals at the expense of long-term stability. Others said that the prospect of fewer financial reports could exacerbate price swings around earnings or fuel insider trading.
Doing away with quarterly reports would help corporations save money.
"They are more likely to react to other types of information and more likely to overreact", said Jill E. Fisch, a co-director of the Institute for Law and Economics at the University of Pennsylvania.
He would need to draft a proposed rule-change which would then be put to an industry consultation during which investors, companies, exchanges, pension funds and public interest groups would likely bombard the SEC with information.