Securities and Exchange Commission (SEC)
📈 Investing
Quick Definition
The Securities and Exchange Commission (SEC) is a U.S. government agency responsible for regulating the securities markets and protecting investors.
Examples
- 1The SEC enforces rules against insider trading, ensuring that all investors have equal access to important company information.
- 2The SEC reviews and approves documentation for new securities issued in initial public offerings (IPOs) to ensure transparency and fairness.
- 3The SEC regulates investment advisors and funds, requiring them to register and adhere to rules designed to protect investors.
- 4The SEC can impose fines and sanctions on companies and individuals who violate securities laws, such as fraudulent financial reporting.
Tags
SECsecuritiesregulationinvestingfinancial-marketsinvestor-protection
Related Terms
Other terms you might find helpful
Insider Trading
Insider trading involves the buying or selling of a publicly-traded company's stock by someone who has non-public, material information about that stock.
Stock Market
The stock market is a collection of markets where stocks (shares of ownership in businesses) are bought, sold, and issued, reflecting the economic trends and the performance of companies.
Quick Info
Category:Investing
Difficulty:intermediate
Last Updated:6/20/2025