San Francisco, October 20th / PRNewswire / -- A new report released by The Brattle Group estimates that the U.S. Securities and Exchange Commission ( SEC ) initiated 308 enforcement actions during the fiscal year 2026 ( FY26 ), which is 57% lower than the average of 710 actions per year from FY18 to FY25. The number of enforcement actions increased from 93 in the first half of the year to 215 in the second half, with 99 cases alone occurring in September. Nevertheless, the total for the second half of the year is still below any comparable period from FY18 to FY24.
In the article " SEC Enforcement Activity for Fiscal Year 2026: A September Pickup Amid a Continued Slowdown ", Senior Associate Researcher Brattle and Supervisor Jan Jindra utilized the SEC enforcement action database that they have been establishing since FY18 to analyze annual and monthly activities, types of defendants, categories of charges, as well as cases related to concurrent criminal prosecutions. FY26 began with a government shutdown, accompanied by changes in leadership and procedures within law enforcement departments.
Jindra indicates: "There are several factors that have affected the law enforcement environment this year, including government shutdowns, consistently low staffing levels, and changes in the leadership of law enforcement departments. The number of cases filed in the second half of the year has increased significantly, especially in September, but the total for the whole year is still far below historical levels."
The report also found:
- For 5 out of the 6 months, the activity level of FY26 in the second half of the year was higher than that of FY25 in the same period, but throughout the entire time frame, it was still lower than the average monthly level of FY18 to FY25.
- Securities issuance and overdue filings are the most common types of allegations, each accounting for FY26% of cases. The proportion of insider trading has risen to its highest level since FY18, reaching 12.3%.
- In the first half of the year, cases involving only individual defendants accounted for 54.8% on FY26, but this figure dropped to 40.5% in the second half of the year. For the entire year, the proportion fell within the upper range of the interval between FY18 and FY25.
- Although the SEC announcement indicates that 7.5% of the cases involving FY26 involve concurrent criminal prosecutions, the author's search of public records estimates this proportion to be 16.9%, which corresponds to 52 cases.
Huffman indicates that we expect FY27 to see a partial rebound, with the number of enforcement actions reaching between 350 and 450, while FY26 is estimated at 308. Even if this level is reached, the activity will still be far below the average from FY18 to FY25. The coming year will show whether the rebound in September will develop into a more sustained increase in cases.
The complete report can be viewed on the Brattle website: https :// www.brattle.com / insights-events / publications / sec-enforcement-activity-for-fiscal-year-2026-a-september-pickup-amid-a-continued-slowdown /.
About Brattle
The Brattle Group is a global consulting firm focused on economics and finance, with over 550 professionals in North America, Europe, and the Asia-Pacific region. Brattle provides independent analysis in the areas of litigation, energy and financial markets, as well as regulatory and strategic consulting. For more information, please visit brattle.com.
