Securities and Exchange Commission (SEC)

America’s Stock Market regulator formed after the 1929 crash of wall street is called the Securities and Exchange Commission (SEC). This body was created to protect the investors, traders, and general public from market manipulation. It is an independent federal government agency responsible for protecting and regulating individuals as well as organizations against market manipulation.

This body was founded by the Congress in 1934, with the main focus of protecting investors and their exchanged assets. More than 58% of the US equity is owned by American households through various investment instruments such as retirement accounts, mutual funds, and other investments, thereby making the SEC of significant importance.

SEC requires all its market participants to disclose their detailed information that shall be required by the investors to make an informed decision. The investors are protected by the SEC, who enforce federal securities law on the malpractitioners, thereby preventing any misconduct.