The Securities and Exchange Commission has proposed rescinding its investment-adviser “pay-to-play” rule, a long-standing restriction that bars advisers from receiving compensation for advisory services from certain government clients for two years after making covered political contributions. If adopted, the change would mark a significant shift in how the agency regulates the intersection of campaign activity and public-sector investment business.

The existing rule has been a major compliance fixture for registered investment advisers, particularly those seeking or maintaining mandates from public pension plans, state treasurers, and other government entities.

KalshiEX LLC has filed a motion for injunction in the Second Circuit, a notable appellate move that signals the company is seeking immediate relief while its appeal proceeds.

The Justice Department’s sentencing of a former adviser to the Federal Reserve Board of Governors is one of the clearest recent reminders that insider-trading exposure is not limited to public-company executives, bankers, or hedge funds. It also reaches government and quasi-government insiders who misuse market-sensitive information obtained through positions of trust.

According to the government’s announcement, the former Fed adviser received a federal prison sentence after being prosecuted for exploiting confidential economic information.