Asked by Paolina Gonzalez on May 16, 2024
Verified
The Securities Exchange Act of 1934 applies to all cases involving the trading of securities, except in private transactions.
Securities Exchange Act Of 1934
U.S. legislation governing the secondary trading of securities (stocks, bonds, and debentures) in the financial market, aimed at regulating the exchanges and preventing fraud.
Private Transactions
Private transactions are trades or deals conducted directly between two parties without the involvement of a public exchange or the public eye.
Trading Of Securities
The buying and selling of financial instruments such as stocks, bonds, and derivatives.
- Understand the ongoing disclosure obligations mandated by the Securities Exchange Act of 1934.
Verified Answer
BM
Bipin MainaliMay 16, 2024
Final Answer :
False
Explanation :
The Securities Exchange Act of 1934 primarily governs the trading of securities in secondary markets, but it does not apply to all cases, such as certain private transactions which are exempt from its provisions.
Learning Objectives
- Understand the ongoing disclosure obligations mandated by the Securities Exchange Act of 1934.