Securities Exchange Act of 1934

(redirected from 1934 Act)
Also found in: Wikipedia.

Securities Exchange Act of 1934

Legislation that created the SEC, outlawing dishonest practices in the trading of securities.

Securities Exchange Act of 1934

Legislation in the United States that regulated broker-dealers and secondary trades on American stock exchanges. This Act also created the Securities and Exchange Commission to help it accomplish its goals. The act prohibited certain trades that would unfairly or dangerously manipulate prices. For example, the Act forbids churning, in which an investor makes both buy and sell orders through different brokers to create the impression of increased interest in the security and to raise the price. It was one of the most important regulatory laws that came out of the New Deal.

Securities Exchange Act of 1934

Landmark legislation that established the SEC and that gives it authority over proxy solicitation and registration of organized exchanges. In addition, the Act sets disclosure requirements for securities in the secondary market, regulates insider trading, and gives the Federal Reserve authority over credit purchases of securities. When established, the Act reflected an effort to extend and overcome shortcomings of the Securities Act of 1933. These two pieces of legislation are the basis of securities regulation in the twentieth century. See also Foreign Corrupt Practices Act, Williams Act.
References in periodicals archive ?
On November 23, 2015 and again on December 4, 2015, the Board filed a materially false and/or misleading preliminary proxy statement with the SEC on Schedule 14A (the "Proxy") in violation of uu14(a) and 20(a) of the 1934 Act and in breach of the Board members' fiduciary duty of candor.
Both the 1933 Act and the 1934 Act regulate the offer and sale of
The first volume presents seven chapters on the background of the SEC statutes, federal regulation and the distribution of securities, definitions and exemptions in the Securities Act of 1933; the Trust Indenture Act of 1939 and SEC functions under the bankruptcy code, control concepts under the SEC statutes, registration and postregistration provisions of the 1934 Act, and regulation of the securities markets.
Unemployment Benefit was introduced in the same 1934 Act by Ramsay McDonald's Labour Party.
Essentially, issuers are publicly traded companies and others that issue securities required to be registered under the 1934 Act (SOX [section] 2(a)(7); 1934 Act [section] 3).
Because of the 1934 act, wrote Malone in his remarkably prescient book Mainline, "the business and the enterprise of individuals now were considered in close connection to the policies of the State.
What will stop it is good, substantive auditing and tough application of Section 10A of the 1934 Act by the outside auditors.
The Board was given the authority to administer and enforce certain provisions of the 1934 Act and the Sarbanes-Oxley Act with respect to state member banks that have a class of securities registered under section 12(b) or 12(g) of the 1934 Act (registered state member banks).
Violating the board's rules is equivalent to violating the 1934 Act and, as such, the penalties under the 1934 Act will apply.
Under the 1934 Act, companies register securities that are already in the hands of the public and commit to make annual and periodic reports to the SEC, which are then available generally to investors and analysts on the SEC's website.
The first volume features photographically reproduced pages of legislative documents from the 1933-34 period, sandwiched between four commentaries on the various titles of the 1934 Act and a topical index.
They claim that it violates the ``common bond'' requirement of the 1934 act.