2024-11-12T16:13:22-06:00 2023-12-31 992277914 EAG NEW ENGLAND LLC 160 FEDERAL STREET 9TH FLOOR BOSTON MA 02110 990 2023-01-01 300406260 COMMITTEE ON CAPITAL MARKETS REGULATION INC C/O HAL S SCOTT COMM 8572426747 134 MT AUBURN STREET CAMBRIDGE MA 02138 HAL S SCOTT PRESIDENT/DIRECTOR 8572426747 2024-11-12 1 0 EUGENE BORGONZI P01269879 6172276161 2024-11-04 2023 2024-10-15 13:58:12Z HAL S SCOTT 134 MT AUBURN STREET CAMBRIDGE MA 02138 3703215 0 X WWW.CAPMKTSREG.ORG X 2007 DE TO RESEARCH AND ADDRESS SPECIFIC ISSUES AFFECTING THE REGULATION OF U.S. CAPITAL MARKETS. 5 4 13 4 0 0 3032038 3281783 43153 27833 21874 86817 55062 53803 3152127 3450236 0 0 0 0 1932661 2279984 0 0 291953 908270 974773 2840931 3254757 311196 195479 5567505 5720835 1073033 842513 4494472 4878322 X THE SPECIFIC PURPOSES FOR WHICH THE CORPORATION IS FORMED INCLUDE: 1) EXPLORING A RANGE OF ISSUES RELATED TO MAINTAINING AND IMPROVING THE COMPETITIVENESS OF THE US CAPITAL MARKETS; 2) RECOMMENDING POLICY CHANGES THAT SHOULD BE MADE, (CONTINUED ON SCHEDULE O) OR AREAS OF RESEARCH THAT SHOULD BE PURSUED; 3) PRESERVING AND ENHANCING THE BALANCE BETWEEN EFFICIENT AND COMPETITIVE CAPITAL MARKETS AND SHAREHOLDER PROTECTION; AND 4) PURSUING OTHER SIMILAR AREAS OF STUDY AND DISCUSSION. 0 0 2462217 0 27833 THE COMMITTEE ON CAPITAL MARKETS REGULATION, INC. IS AN INDEPENDENT AND NONPARTISAN RESEARCH ORGANIZATION DEDICATED TO IMPROVING THE REGULATION OF U.S. CAPITAL MARKETS. THE COMMITTEE'S RESEARCH PROVIDES POLICYMAKERS WITH A NONPARTISAN EMPIRICAL FOUNDATION FOR PUBLIC POLICY AS WELL AS EDUCATES THE PUBLIC ON THESE ISSUES. IN 2023, THE COMMITTEE RELEASED THREE MAJOR REPORTS: A COMPETITIVE ANALYSIS OF THE U.S. PRIVATE EQUITY FUND MARKET (APR. 2023), A COMPETITIVE ANALYSIS OF THE U.S. HEDGE FUND MARKET (MAY 2023), AND U.S. LISTING BY CHINESE COMPANIES, WHICH WAS RELEASED IN JANUARY 2023 BUT PREPARED IN 2022. THE EXPENSES ASSOCIATED WITH THESE REPORTS WERE LIKELY IN THE RANGE OF $750,000. THE COMMITTEE ALSO RELEASED FOUR STATEMENTS: (1) BASEL FINALIZATION AND U.S. BANK CAPITAL REQUIREMENTS (MAY 2023); (2) CRYPTOASSET TRADING PLATFORMS CANNOT REGISTER AS SECURITIES EXCHANGES (JUNE 2023); (3) BASEL III ECONOMIC ANALYSIS AND PUBLIC COMMENT PERIOD (DEC. 2023); AND (4) AN OVERVIEW OF THE TREASURY BASIS TRADE (DEC. 2023). IN ADDITION TO ITS MAJOR REPORTS AND STATEMENTS, THE COMMITTEE UPDATED ITS ANNUAL ANALYSIS MONETARY SANCTIONS IMPOSED BY U.S. ENFORCEMENT AGENCIES, SUBMITTED SIX COMMENT LETTERS TO THE SEC, AND SUBMITTED THREE COMMENT LETTERS TO OTHER AGENCIES: ONE TO THE FINANCIAL STABILITY OVERSIGHT COUNCIL ("FSOC"), ANOTHER TO THE PUBLIC COMPANY ACCOUNTING OVERSIGHT BOARD ("PCAOB") AND A THIRD, JOINTLY, TO THE DEPARMENT OF JUSTICE ("DOJ") AND FEDERAL TRADE COMMISSION ("FTC"). 2462217 1 1 0 1 0 0 0 0 0 0 1 0 0 1 1 0 1 0 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 1 21 0 13 1 0 0 0 0 0 0 0 0 0 0 0 0 X 5 4 1 0 0 0 0 0 0 1 0 0 0 1 1 1 1 1 1 1 1 0 MA NY X CRISTINA LEONE 8572426747 134 MT AUBURN STREET CAMBRIDGE MA 02138 HAL S SCOTT PRESIDENT/DIRECTOR 30.00 X X 675000 0 19000 ROBERT GLENN HUBBARD CO-CHAIR/DIRECTOR 0.50 X X 0 0 0 JOHN L THORNTON CO-CHAIR/DIRECTOR 0.50 X X 0 0 0 LESLIE N SILVERMAN DIRECTOR 0.50 X 0 0 0 BARBARA G NOVICK DIRECTOR 0.50 X 0 0 0 JACQUELINE MCCABE VP/SECRETARY 20.00 X 77000 0 2310 CRISTINA LEONE TREASURER/CFO 25.00 X 102641 0 8729 JOHN A GULLIVER EXECUTIVE DIRECTOR 30.00 X 430182 0 19580 JON ONDREJKO SR. RESEARCH FELLOW 50.00 X 127626 0 9479 ANDREW BEATTY SR. RESEARCH FELLOW 50.00 X 205399 0 11812 CONNOR KORTJE SR. RESEARCH FELLOW 50.00 X 202462 0 11724 1820310 0 82634 6 0 1 0 SLAVA FOS 290 HARTMAN ROAD NEWTON MA 02459 RESEARCH CONSULTING 175013 1 3281783 55183 3281783 OUTSOURCED RESEARCH CO 541900 27833 27833 27833 106244 106244 51338 0 51338 51338 51338 233552 252979 -19427 -19427 -19427 OTHER INCOME 900099 2465 2465 2465 3450236 30298 0 138155 X 1332659 830381 295542 206736 785371 721929 31493 31949 19503 18269 497 737 34362 30110 1994 2258 108089 79661 16401 12027 4695 4695 47534 47534 5000 5000 8651 8651 527673 526798 875 44685 27606 12905 4174 28387 18960 7072 2355 211811 147078 40434 24299 49536 33650 10909 4977 20553 14772 3340 2441 22229 22229 LICENSE FEES 4019 3308 711 3254757 2462217 500587 291953 317537 153227 2437640 2405528 272500 427500 159865 101822 171064 304296 127399 65001 79488 62398 1316784 1510279 10095 6634 802532 749151 5567505 5720835 266742 59365 806291 783148 1073033 842513 X 4262078 4780375 232394 97947 4494472 4878322 5567505 5720835 195479 188371 0 X X 0 1 X 1 0 X 2459254 1362404 2658850 3032038 3281783 12794329 2459254 1362404 2658850 3032038 3281783 12794329 4327317 8467012 130605 22374 69629 94404 157582 474594 5412 3126 2465 11003 13279926 134945 0.63760 0.64520 X SCHEDULE A, PART II, LINE 10, EXPLANATION OF OTHER INCOME: CREDIT CARD CASH BACK REWARDS - 2021 AMOUNT: $ 5,412. 2022 AMOUNT: $ 3,126. 2023 AMOUNT: $ 2,465. FORM 990, SCHEDULE A, PUBLIC SUPPORT SHORT YEAR THE BOARD OF DIRECTORS VOTED TO AMEND THE BYLAWS TO CHANGE THE ORGANIZATION'S YEAR END FROM JULY 31 TO DECEMBER 31 EFFECTIVE DECEMBER 31, 2020. THEREFORE THE 2020 TAX YEAR WAS A SHORT YEAR RUNNING FROM AUGUST 1, 2020 TO DECEMBER 31, 2020. RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 0 0 5000 0 5000 0 3249757 0 3254757 0 312738 0 78185 0 0 0 0 0 163622 278217 292047 312738 1046624 1569936 1250 3750 4000 5000 14000 40906 69554 73012 78185 261657 392486 0 0 0 0 0 88339 52006 36333 5346 3959 1387 33714 9036 24678 62398 457(B) PLAN ASSETS 192684 SECURITY DEPOSIT 39600 OTHER ASSET 362 RIGHT OF USE ASSET 516505 749151 457B PLAN PAYABLE 192684 OPERATING LEASE LIABILITY 590464 783148 3629956 188371 188371 3441585 8651 8651 3450236 3246106 0 3246106 8651 8651 3254757 X 1 1 X X X X 0 0 0 0 0 0 0 1 0 HAL S SCOTT PRESIDENT/DIRECTOR 552500 0 100000 0 22500 0 19000 0 0 0 694000 0 0 0 JOHN A GULLIVER EXECUTIVE DIRECTOR 357682 0 50000 0 22500 0 8155 0 11425 0 449762 0 0 0 ANDREW BEATTY SR. RESEARCH FELLOW 200399 0 0 0 5000 0 6162 0 5650 0 217211 0 0 0 CONNOR KORTJE SR. RESEARCH FELLOW 202462 0 0 0 0 0 6074 0 5650 0 214186 0 0 0 PART I, LINE 1A FIRST CLASS TRAVEL IS PROVIDED FOR HAL S. SCOTT, PRESIDENT, IN THE CASE OF LONG TRIPS WHERE PRIVACY IS NEEDED FOR WORKING ON CONFIDENTIAL DOCUMENTS, WHEN BUSINESS CLASS TICKETS ARE NOT AVAILABLE, OR A FREE UPGRADE TO FIRST CLASS IS AVAILABLE. PART I, LINE 7 ALL OFFICERS, KEY EMPLOYEES AND HIGHLY COMPENSATED EMPLOYEES RECEIVED A DISCRETIONARY BONUS IN 2023. THE BONUSES ARE DETERMINED BASED ON THE MARKET RATE FOR SIMILAR ROLES AT OTHER SIMILAR ORGANIZATIONS. THE BONUS WAS APPROVED BY THE BOARD OF DIRECTORS. X 1 55183 STOCK MARKET QUOTE 0 0 0 PART I, COLUMN (B): THE ORGANIZATION USED THE NUMBER OF CONTRIBUTIONS RECEIVED DURING 2023 TO REPORT THE NUMBER OF CONTRIBUTIONS IN COLUMN (B) LINE 9. THERE WAS ONLY ONE STOCK DONATION DURING 2023. FORM 990, PART VI, SECTION A, LINE 2 HAL S SCOTT & JOHN A. GULLIVER - BUSINESS RELATIONSHIP HAL S. SCOTT & JACQUELINE MCCABE - BUSINESS RELATIONSHIP HAL S. SCOTT & CRISTINA LEONE - BUSINESS RELATIONSHIP FORM 990, PART VI, SECTION A, LINE 8B THE ORGANIZATION IS A RELATIVELY SMALL ORGANIZATION AND HAD ONLY UP TO 5 BOARD MEMBERS AT ANY ONE TIME. THEREFORE, THERE ARE NO COMMITTEES. THE FULL BOARD ACTS ON ALL MATTERS DURING BOARD MEETINGS AND MINUTES ARE KEPT OF THOSE MEETINGS. FORM 990, PART VI, SECTION B, LINE 11B THE FORM 990 IS REVIEWED THOROUGHLY BY THE CORPORATION'S OFFICERS BEFORE FILING. A COPY OF THE FORM 990 IS PROVIDED TO AND REVIEWED BY THE BOARD OF DIRECTORS BEFORE IT IS FILED. FORM 990, PART VI, SECTION B, LINE 12C ARTICLE VII OF THE CORPORATION'S BY-LAWS GOVERN CONFLICTS OF INTEREST. THE BY-LAWS DEFINE POTENTIAL CONFLICTS OF INTEREST AND SET OUT THE PROCESS FOR DISCLOSING POTENTIAL CONFLICTS OF INTEREST AND APPROVAL OF CONTRACTS AND TRANSACTIONS INVOLVING POTENTIAL CONFLICTS OF INTEREST. AT WEEKLY STATUS MEETINGS, ALL MAJOR ACTIVITIES OF THE CORPORATION ARE DISCUSSED BY THE CORPORATION'S OFFICERS WHERE ANY POTENTIAL CONFLICTS OF INTEREST CAN BE IDENTIFIED. IN ADDITION, EACH DIRECTOR AND EACH OFFICER IS REQUIRED TO COMPLETE AN ANNUAL CONFLICT OF INTEREST DISCLOSURE FORM. FORM 990, PART VI, SECTION B, LINE 15 THE PROCESS FOR DETERMINING COMPENSATION OF THE ORGANIZATION'S TOP MANAGEMENT (OFFICERS AND KEY EMPLOYEES) INCLUDED A REVIEW AND APPROVAL BY INDEPENDENT MEMBERS OF THE BOARD OF DIRECTORS WHO WERE PROVIDED A REPORT FROM AN INDEPENDENT PROFESSIONAL COMPENSATION CONSULTANT PROVIDING, INTER ALIA, COMPARABILITY DATA, AND THE BOARD'S DELIBERATION AND DECISION WERE CONTEMPORANEOUSLY MEMORIALIZED IN THE MINUTES OF THE BOARD MEETING. THE INDEPENDENT PROFESSIONAL COMPENSATION CONSULTANT WAS HIRED TO PROVIDE 2023 COMPENSATION PLANNING INFORMATION UPDATES AS APPROPRIATE FOR THE FOLLOWING: HAL S. SCOTT JOHN GULLIVER JACQUELINE MCCABE CRISTINA LEONE FORM 990, PART VI, SECTION C, LINE 19 THE ORGANIZATION MAKES ITS GOVERNING DOCUMENTS, WHICH INCLUDE ITS CONFLICT OF INTEREST POLICY, AND ITS FINANCIAL STATEMENTS ARE AVAILABLE TO THE PUBLIC UPON WRITTEN REQUEST. FORM 990, PART IX, LINE 11G CONSULTANTS: PROGRAM SERVICE EXPENSES 78,679. MANAGEMENT AND GENERAL EXPENSES 875. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 79,554. PUBLIC RELATIONS: PROGRAM SERVICE EXPENSES 79,500. MANAGEMENT AND GENERAL EXPENSES 0. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 79,500. RECRUITING: PROGRAM SERVICE EXPENSES 74,898. MANAGEMENT AND GENERAL EXPENSES 0. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 74,898. RESEARCH CONSULTING: PROGRAM SERVICE EXPENSES 293,721. MANAGEMENT AND GENERAL EXPENSES 0. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 293,721. FORM 990, PART XII, LINE 2C: SINCE THE BOARD OF DIRECTORS WAS COMPRISED OF UP TO ONLY 5 INDIVIDUALS AT ANY ONE TIME DURING THE YEAR, THE FULL BOARD ASSUMED RESPONSIBILITY FOR OVERSIGHT OF THE AUDIT OF ITS FINANCIAL STATEMENTS AND SELECTION OF AN INDEPENDENT ACCOUNTANT.