This bill directs the Securities and Exchange Commission (SEC) to create rules allowing investment firms, brokers, advisers, and other financial companies to deliver required disclosure documents to investors electronically instead of by paper mail. The SEC must propose the rules within 180 days and finalize them within one year of the bill's enactment. The rules must include investor protections such as an initial paper notification about electronic delivery, a transition period of up to 180 days, the ability for investors to opt out and request paper documents, and safeguards to ensure documents are readable and actually delivered. The bill also requires self-regulatory organizations like the Financial Industry Regulatory Authority to adopt similar rules, and it exempts these electronic deliveries from a federal law that normally requires written delivery of certain documents. The legislation affects mutual funds, investment companies, brokers, dealers, investment advisers, and other registered financial entities, and it is designed to modernize investor disclosures while maintaining consumer protections.
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