SEC Proposes Data Security Enhancements to the CAT NMS Plan

Washington DC (STL.News) The Securities and Exchange Commission today proposed amendments to the national market system plan governing the Consolidated Audit Trail (the “CAT NMS Plan”) to bolster the Consolidated Audit Trail’s (“CAT”) data security.  While the CAT NMS Plan currently sets forth a number of requirements regarding the security and confidentiality of CAT data, the proposed amendments to the CAT NMS Plan are the latest SEC action to limit the scope of sensitive information required to be collected by CAT and enhance the security of the CAT and the protections afforded to CAT data.

“Data security is an essential pillar of the CAT,” said SEC Chairman Jay Clayton.  “The requirements outlined in the proposal, including requiring the removal of sensitive PII, are designed to both (1) significantly reduce the amount of sensitive data collected without affecting the operational effectiveness of the CAT and (2) provide market participants with greater certainty regarding how CAT data will be protected and used.  We will continue to evaluate these matters, including to address changes in risks and other matters, as implementation and operation of the CAT continues.”

The public comment period will remain open for 60 days following the date that the release is posted on