Final answer:
Variable annuity sales are regulated by the SEC and FINRA, which oversee securities markets and trading in securities to protect investors and ensure compliance with laws. The correct option is D.
Step-by-step explanation:
Variable annuity sales are subject to SEC and FINRA regulation. The Securities and Exchange Commission (SEC) oversees securities markets and protects investors by requiring full disclosure of all important facts about publicly traded securities.
FINRA, the Financial Industry Regulatory Authority, regulates trading in equities, corporate bonds, securities futures, and options. Sales of products like variable annuities are overseen by both these regulatory bodies to ensure proper compliance with investment and securities laws. Thus, the correct answer is D) SEC and FINRA regulation.