The Securities and Exchange Commission

The Securities and Exchange Commission     Created in 1934 following the 1929 stock market crash, the Securities and Exchange Commission is a federal agency responsible for regulating the sale and purchase of securities (tradable financial assets such as stocks and bonds). It's also tasked with creating and maintaining reporting requirements for public companies, overseeing market participants (brokers, advisers, exchanges), and more. > Watch the SEC "Era's Tour" to learn about its history. (More) > In the decades before the SEC was created, 180 people were found to be managing more than $22B, a large slice of the entire nation's wealth. (More) The commission itself is composed of five commissioners appointed by the president and confirmed by the Senate (two spots are vacant today). No more than three commissioners can be from the same political party, and one of them serves as the SEC chair. Their stated mission is to protect investors, maintain fair, orderly, and efficient markets, and help businesses raise money. > President John F. Kennedy's father was the first chairman of the SEC. (More) > Learn about the different financial and banking regulatory bodies in the US. (More) The agency's role and scope have expanded in the years since its creation, with more aggressive regulations coming out of financial crises like the Great Recession of 2008. The SEC only has civil enforcement power (think: fines, penalties, industry bans)—meaning when a case warrants criminal charges, it refers the matter to the Department of Justice. The extent of the SEC's oversight is a highly politicized issue: Conservative politicians tend to advocate for less oversight, while more liberal politicians push for more. > The SEC was criticized for not having caught Bernie Madoff's nearly $65B Ponzi scheme earlier. (More) > How Dodd-Frank expanded the SEC's power. (More) Discover more:  > The man who likely inspired Gordon Gekko in the movie "Wall Street" was shockingly cooperative with the SEC when he was arrested. (More) > What is insider trading? (More) > Explore the SEC's public database with information and filings from public companies. (More) ===================================================================== Remember, you're not alone with NCOFCU.org Join/Upgrade Check out some of NCOFCU's additional features: Advocacy  Annual Conference First Responder Credit Union Academy Financial Literacy Podcasts YouTube Mini's Retirement Calculator