Stock Market Security
By admin | June 8, 2011
In order to prevent complete chaos, the SEC governs all equities markets in the United States. This Securities and Exchange Commission is the governing body that regulates all securities activities and financial markets in the country. The SEC was born in the aftermath of the great stock market crash of 1929.
In the aftermath of the crash, Congress held a series of hearings to explain how over $25 billion of value could disappear as it did. The result was that in 1934, the Securities Exchange Act was passed, and the SEC was born. The fundamental mission of the SEC is the creation of stock market security through clear information and market regulations. Today new methods of trading include the Quantum FX Bot and other auto trading strategies.
The SEC is founded on two principles. First, that companies offering securities (stocks and bonds) for public investment must tell the truth about their businesses, the securities they are selling, and the risks that may be involved. Secondly that people who sell or trade securities such as brokers, dealers, and stock markets, must treat investors fairly and honestly, putting investors’ interests first. Since then, the SEC has become a large and sophisticated and conduct investigations with their own agents. While not perfect, the SEC prevents the worst of the abuses and helps build real market value.
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