SEC Guidance on European Sovereign Debt Exposure

On January 6, the SEC Division of Corporation Finance Staff issued guidance on disclosures relating to SEC registrants’ exposures to European sovereign debt. The SEC Staff issued this guidance to correct inconsistencies in disclosures from registrant to registrant, requesting in part that a registrant: (i) disclose the basis for the countries selected for disclosure; (ii) provide disclosures separately by country, segregated between sovereign and non-sovereign exposures, and by financial statement category; and (iii) provide information regarding hedges in order to detail net funded exposure. SEC Guidance.