[SEC Approves Nasdaq's New Rule to Reject High-Risk IPOs] The U.S. Securities and Exchange Commission (SEC) approved a new rule on Friday, granting Nasdaq the authority to reject IPO applications that pose manipulation risks. Nasdaq can refuse listings if the company's business location does not cooperate with reviews, if underwriters or other institutions have been involved in problematic transactions, or if the integrity of the management is in question. This rule aims to address the issue of sharp price drops following small IPOs. Over the past year, half of Nasdaq's IPOs raised less than $15 million, and most of their stock prices fell by more than 35% within a year.