What is the 'Securities Act'?

What is the 'Securities Act'?

The Securities Act - there are 3 of them. There's one of 1933, one of 1934, and one of 1940. These acts were put out for the general public in order to make sure that they had full and total disclosure in regard to products and services. The Securities Act of 1933 was for new issues, to make sure that when companies were coming to market, that they would have to disclose the basics behind the companies themselves. The Securities Act of 1934 was an act where the government wanted to make sure that the general public had all of the financials that were available to them. The Securities Act of 1940 really had to do with investment companies, and investment companies are mutual funds.