Industry attorneys warned that the failure of rules designed to ensure orderly trading in equities on Aug. 24, which led to a halt in trading in 455 stocks and ETFs, may cause the SEC to slow the approval of new ETFs. Currently, firms must receive "exemptive relief" from the SEC for new ETFs, which the agency usually approves within six months. The SEC is reportedly pouring through the trading data from Aug. 24 to get a better idea of what could be done to address the volatility ETFs saw on that day.

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