LawInfo

Securities and Exchange Commission FAQs

• What is a security?
  A Security is an investment instrument. It includes investments such as stocks, notes, bonds, debentures, investment contracts, interests in limited partnerships, and … more
• What are the federal securities laws?
  Congress enacted the Federal Securities Laws In an effort to curb future excesses and to provide fair disclosure to investors. The Securities and Exchange Commission … more
• What do these securities laws cover?
  The Securities Act generally requires companies to give investors full disclosure of all material facts, the facts investors would find important in making an … more
• What is the Securities Investor Protection Act?
  It is a law that establishes the Securities Investor Protection Corporation (SIPC) which acts to insure investors for up to $500,000 when the brokerage firm is a … more
• Are there state securities laws?
  The federal and state governments each have their own securities laws and regulations. If a company is selling securities, it must comply with both federal and state … more
• What are “Blue Sky Laws”?
  Every state has its own securities laws­commonly known as "Blue Sky Laws"­that are designed to protect investors against fraudulent sales practices and … more
• Are all companies subject to securities laws?
  Some companies, depending on their type and how they are structured are exempt from the registration and reporting requirements of the securities laws. Although almost … more
• If a company goes public, what must it disclose?
  Companies must report information about their operations, their officers, directors, and certain shareholders, the financial condition of the business and their … more

Securities Sub-categories