The Securities and Exchange Commission has filed only 67 new actions from February to July, a 47% drop from last year. Under Chair Paul Atkins, the SEC is focusing on clear-cut fraud targeting retail investors, a shift from the previous administration’s emphasis on crypto and off-channel communications.

Atkins aims to create a more business-friendly environment, reducing the volume of enforcement cases. Nearly 50% of new cases involve fraudulent securities offerings, while 25% target advisors accused of crimes like misappropriating client funds. Insider trading and issuer reporting cases are down from previous years.

Staffing challenges have contributed to the decline in SEC enforcement. Roughly 15% of the workforce departed due to buyouts or early retirements, limiting the agency’s capacity. Time extensions on older cases have created a backlog, leading to the perception of regulatory activity despite minimal progress.

The effectiveness of former Chair Gary Gensler and current Chair Paul Atkins is up for debate. Gensler inundated staff with proposals and disputes over crypto, while Atkins has been slower to act on cases. Singer compares them to chess grandmasters, with Gensler overthinking moves and Atkins hesitating to make them.

Read more at Yahoo Finance: SEC Enforcement Claims Tumble Almost 50% This Year