The US Securities and Exchange Commission has sued Institutional Shareholder Services to enforce a subpoena, as the Trump administration steps up its scrutiny of proxy advisers, according to CNBC.
Key facts
- The SEC has sued Institutional Shareholder Services (ISS), according to CNBC.
- The lawsuit seeks to enforce a subpoena.
- The action comes as the Trump administration increases scrutiny of proxy advisers, CNBC reported.
- The case was reported by CNBC on 6 September 2026.
The US Securities and Exchange Commission has sued Institutional Shareholder Services (ISS) to enforce a subpoena, according to CNBC. The move marks an escalation in federal scrutiny of proxy advisory firms.
The lawsuit comes as the Trump administration increases its scrutiny of proxy advisers, CNBC reported. ISS is one of the most prominent firms in the proxy advisory industry, which provides recommendations to institutional investors on shareholder votes.
Further details of the dispute were not available from the reporting reviewed, including the specific documents or information the SEC is seeking, ISS’s response, and the timeline for the case.
Why it matters
The lawsuit signals heightened federal attention to proxy advisory firms, which advise large investors on how to vote on corporate matters. The outcome and its broader implications for the industry are not yet clear from the available reporting.
Frequently asked questions
Who is the SEC suing?
The SEC is suing Institutional Shareholder Services (ISS), a prominent proxy advisory firm, according to CNBC.
Why is the SEC suing ISS?
According to CNBC, the SEC filed the lawsuit to enforce a subpoena as the Trump administration increases scrutiny of proxy advisers.
What do proxy advisers do?
Proxy advisers issue recommendations that influence how institutional investors vote on corporate matters. The sources do not provide further detail beyond identifying ISS as an influential proxy adviser.