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1934 Securities Exchange Act

The 1934 Securities Exchange Act is a U.S. law that regulates the trading of securities such as stocks and bonds. Its main purpose is to maintain fair and efficient markets, protect investors from fraud, and require companies to disclose important financial information. This act established the Securities and Exchange Commission (SEC), which oversees and enforces securities laws. By ensuring transparency and fairness, the act aims to build public trust in the financial system, helping investors make informed decisions.