Senator Elizabeth Warren and three other Democratic lawmakers have sent an open letter to the executives behind popular SPACs, raising concerns about the potential for insiders to exploit regulatory gaps at the expense of everyday investors, CNN reports.
“We seek information about your use of SPACs in order to understand what sort of Congressional or regulatory action may be necessary to better protect investors and market integrity and ensure a fair, orderly, and efficient marketplace,” the senators wrote Wednesday. “We are concerned about the misaligned incentives between SPACs’ creators and early investors on the one hand, and retail investors on the other.” Read more.
