Companies Ditching Quarterly Reports May Hit Valuations And Spark Sell-Offs, Warns Strategist— 'Need More...Not Less'

A revived proposal from President Trump to shift companies from quarterly to semiannual reporting has drawn warnings that it could hurt market valuations and trigger sell-offs. WisdomTree strategist Sam Rines told Reuters that cutting quarterly reports may prompt active managers to sell and mark down valuations, raising volatility and capital costs. Investors at an SEC advisory meeting — including Citadel and Fidelity — and firms like Two Sigma and D. E. Shaw have pushed back, saying less frequent reporting would weaken valuation accuracy. JPMorgan said it would continue providing quarterly guidance despite broadly backing the proposal. The debate centers on potential policy-driven market impact: reduced transparency could increase perceived risk and provoke market volatility.