ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -The Securities and Exchange Commission (SEC) comprises five divisions and 24 offices to develop new securities rules, and market laws and provide oversight to financial and investment institutions.

Detailed explanation-2: -19 The SEC is accountable to Congress as it operates under the authority of federal laws including the Securities Act of 1933, the Securities Exchange Act of 1934, the Investment Company Act of 1940, the Investment Advisers Act of 1940, and the Sarbanes-Oxley Act of 2002 (Sarbanes-Oxley Act), among others.

Detailed explanation-3: -The Securities and Exchange Commission oversees securities exchanges, securities brokers and dealers, investment advisors, and mutual funds in an effort to promote fair dealing, the disclosure of important market information, and to prevent fraud.

Detailed explanation-4: -Entities under the SEC’s authority include securities exchanges with physical trading floors such as the New York Stock Exchange, self-regulatory organizations, the Municipal Securities Rulemaking Board, NASDAQ, alternative trading systems, and any other persons engaged in transactions for the accounts of others.

Detailed explanation-5: -Does the SEC regulate private companies? A business can raise capital in a number of different ways, including by selling investment instruments called securities. The U.S. Securities and Exchange Commission, or SEC, regulates the offer and sale of all securities, including those offered and sold by private companies.