(October 27 – 12:40 ET) – An article in today’s edition of the Economist examines Arthur Levitt’s chairmanship of the Securities and Exchange Commission, speculating that his tenure may soon be coming to an end.
The paper says Levitt is likely to resign as head of the SEC when the Clinton administration leaves office. It says Levitt has hinted that he is ready to retire and that he would like to head a museum or a newspaper. He would also have more time for old golfing buddy and chairman of the U.S. Federal Reserve Board, Alan Greenspan.
Although it admits the move isn’t definite, the Economist is already penning his obituary. It lauds Levitt for his stance as a champion of small investors, most recently in bringing an end to selective disclosure through Regulation FD, and the ongoing battle to improve auditor independence.
Wall Street fought Regulation FD on the basis that it would be counter-productive to disclosure, yet investor advocates maintain it is the right thing to do. The battle with auditors is proving tougher, with a heavy lobby hitting Congress in an effort to make an end run around the SEC.
Improved disclosure has become a cause for Levitt, who, according the article, has a sail boat named Full Disclosure. The only crimp in the retirement plan may be a desire to see through the SEC’s work on auditor independence.
-IE Staff