What Is The Securities Exchange Commission?

What Is The Securities Exchange Commission?

If you have any assets in America such as stocks and shares, you may well have come across the Securities Exchange Commission (also known as the SEC) before. But coming across it and knowing what it is all about are two different things, and this blog should give you some more information.

The SEC is a regulatory body that was founded after the 1929 stock market crash, and came about as a result of the Securities Act of 1939. In essence, the SEC is a federal agency which is responsible for overseeing the enforcement of all laws that relate to the securities industry in the USA.

The SEC is divided into five parts, each one led by a commissioner. These parts are: the division of corporate finance, the division of trading and markets, the division of investment management, the division of enforcement, and the division of risk, strategy, and financial innovation. Below is an explanation about what each division does.

Division of Corporate Finance

This division is about making sure that all publicly traded corporations disclose all of their financial details. This needs to be done when issuing securities for the very first time, and in all updates that come afterwards. It also need to be confirmed within the end of year filings.

Division of Trading and Markets

This division ensures that the markets are fair and run in an orderly fashion. Those who are actively involved in buying and selling stocks and shares are monitored to ensure that nothing is untoward in their dealings. This means all brokers and dealers, all transfer agents, and all clearing agents. If you have stocks and shares in American that need to be transferred, you will need a Medallion Guarantee in order to do so, which is why it is important to get in touch with us.

Division of Investment Management

As the name suggests, this division keeps a close eye on investments made. Investment advisors and analysts and fun managers are all checked up on through this branch of the SEC. If there are complaints made about the industry, this is the division that will deal with them.

Division of Enforcement

This is the part of the SEC that recommends when investigations should take place as well as civil actions and any prosecutions. The SEC can only enforce civil penalties, but works with the Department of Justice in America when it comes to criminal cases.

Division of Risk, Strategy and Financial Innovation

This is the newest division of the SEC, founded in 2009. This analysis of hedge funds, derivatives, and other markets are all undertaken by this department to ensure that there is no threat to the US economy.

Medallion Signature Guarantee Program

Being aware of the ever changing policy updates at SEC is vital for the work we do with helping people who have stocks & shares in a companies based in the USA or Canada, sell, transfer or change the name on their account. Our complete Worldwide Medallion Guarantee Service can include:

  • Full Sale & Transfer Service
  • Completion of all the Transfer forms
  • Submission to the Transfer Agent
  • IRS Federal Tax Clearance
  • Stocks & Shares valuations
  • Creation of Affidavit of Domicile
  • Dealing with un-cashed dividend cheques
  • Translation & Notarisation of foreign documents
  • Apostille & Embassy Legalisation of Documents