Act
The Securities Act of 1933 and the Securities Exchange Act of 1934 form the foundation of U.S. securities regulation. Each Act defines how companies must disclose information and how markets are regulated.
The Securities Act focuses on how securities are offered and sold. It requires companies to provide detailed disclosures before selling securities to the public.
The Exchange Act governs ongoing reporting and market behavior after securities begin trading. Together, these Acts shape how and when companies file with the SEC.
Why It Matters
These Acts protect investors by requiring transparency and fair disclosure. They set the legal framework that all SEC filings and reporting obligations follow.
How does the Securities Act differ from the Exchange Act?
The Securities Act applies mainly to the initial sale of securities. It focuses on registration statements and disclosures before an offering. The Exchange Act applies after securities are publicly traded. It governs ongoing reporting and market conduct.
Which SEC filings are required under each Act?
Registration statements like S-1 and S-3 fall under the Securities Act. Periodic reports such as 10-K, 10-Q, and 8-K are required under the Exchange Act. Each filing type serves a different purpose. Together, they cover a company’s full reporting lifecycle.
Why do these Acts matter for investors today?
These laws ensure investors receive consistent and reliable information. They help prevent fraud and misinformation. Modern disclosure rules still trace back to these Acts. Understanding them helps investors interpret SEC filings correctly.
Real-World Example
A company files an S-1 under the Securities Act to go public. After its shares begin trading, it files 10-K and 10-Q reports under the Exchange Act.
Act and FinFeedAPI
FinFeedAPI’s SEC API organizes filings based on the governing Act. This allows users to distinguish between offering-related and ongoing reporting disclosures. Structured access supports regulatory and market analysis.