Egan-Jones Criticizes SEC Over Client Concentration Limits (1)

Egan-Jones Ratings Co. criticized the Securities and Exchange Commission after the agency denied a temporary exemption from a rule limiting client revenue concentration, the latest sign of regulatory pressure on the credit rating firm.

The SEC earlier this week rejected the firm’s bid for relief from the so-called “10% rule”, which prohibits credit ratings firms from grading a single client that accounts for 10% or more of its total annual net revenue.

The dispute stems from a November 2025 client request for an unusually large number of ratings, Egan-Jones said in a statement. Revenue from that work would have ...