Posted on Thursday, June 21, 2018

On June 19, 2018, the Securities and Exchange Commission published their draft Strategic Plan for 2018-2022 which contains five goals, one of which is to “Elevate the SEC’s performance by enhancing our analytical capabilities and human capital development.”

The Commission has adopted five strategies to reach this goal including the expanded use of data analytics. The plan states that the Commission will:

Expand the use of risk and data analytics to inform how we set regulatory priorities and focus staff resources, including developing a data management program that treats data as an SEC-wide resource with appropriate data protections, enabling rigorous analysis at reduced cost. In today’s fast-paced, data-driven markets, it is imperative the SEC be able to leverage data analytics to allocate our resources most effectively in furtherance of our mission. At the same time, it is also imperative that the SEC have data management practices that appropriately reflect the sensitivity of that data. Under this initiative, the agency will advance our risk analytics and data management programs. Working collaboratively across the SEC’s divisions and offices, we will invest in needed data streams, deploy new technological tools, where appropriate, and improve our enterprise data management practices and infrastructure. 

Enhance our analytics of market and industry data to prevent, detect, and prosecute improper behavior. Data analytics are essential to rooting out wrongdoing in our markets. The SEC will continue to invest in the data and tools needed for our enforcement and examination programs to uncover and prosecute violations of the federal securities laws.

This plan is out for a 30-day comment period. Comments are due by July 25, 2018.

Read the SEC release.

Read the SEC Strategic plan.