Markets Enforce Quarterly Updates

Relaxing disclosure rules does not mean firms will stop quarterly communication. After UK/EU allowed semiannual reporting, most issuers continued quarterly updates to satisfy investors, while those that paused saw lower liquidity and fewer analysts. The net effect on investment was negligible. — It implies that deregulating reporting cadence may not curb short‑termism but could disadvantage smaller or weaker issuers via liquidity and coverage penalties.