Opinion | Canada’s Free-Market Example for the SEC

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Opinion | Canada’s Free-Market Example for the SEC
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Opinion: The U.S. public markets would benefit if the SEC took some cues from Canada and adopted a less confrontational regulatory approach, write John Hartsel and Peter St. Onge

Are public markets broken? In the 1990s Yahoo held an initial public offering a year after incorporation. Uber, which went public last week, was founded in 2009; Airbnb, whose IPO is expected later this year, in 2008.

The problem goes deeper than delayed IPOs: The number of companies on the public market has plunged to about half what it was in the 1990s and has fallen by nearly a quarter since the 2002 Sarbanes-Oxley bill. The decline echoes across the startup world; in 1996, 70% of venture capital exits were to public markets,...

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