U.S. SEC Implements Holding Foreign Insiders Accountable Act Provisions

The U.S. Securities and Exchange Commission on Friday adopted final rules requiring Directors and officers of foreign companies traded in the United States to disclose their shareholdings and transactions. The requirement follows a mandate passed by Congress in December 2025 under the Holding Foreign Insiders Accountable Act.

Under the new rules, executives and board members of foreign private issuers who hold certain registered securities must begin reporting their holdings and transactions by March 18. The regulation removes a previous exemption that allowed insiders at foreign companies to avoid disclosure requirements similar to those applied to officials at U.S. companies. The decision forms part of a broader regulatory process initiated last year. During that period, the SEC began reviewing disclosure requirements for foreign firms, stating that existing rules created a gap in reporting standards.

The new framework aligns foreign issuers with disclosure practices applicable to domestic listed companies in U.S. markets.