Final answer:
Registered securities must comply with SEC regulations, ensuring transparency and investor protection. The SEC oversees multiple markets and has expanded its scope in the digital era, including electronic platforms like NASDAQ.
Step-by-step explanation:
Certain categories of securities, such as those listed on national exchanges or registered under the Investment Company Act of 1940, are deemed registered securities. These types of securities must comply with the regulations set by the Securities and Exchange Commission (SEC), which includes disclosure of pertinent information to investors and adherence to standards for trading. The purpose of these regulations is to protect investors by ensuring transparency and reducing the risk of fraud in the financial markets.
The SEC oversees various markets including regional stock markets, commodities markets, and global markets. Its mission and authority have expanded notably in the digital era to encompass a broader range of financial activities, beyond traditional stock floor trading. This has been instrumental in the development of electronic trading platforms such as NASDAQ, which operates without a physical trading floor.