Question

. The Securities Act of 1933 A. Established a voluntary disclosure mechanism for issuers of publicly traded securities B. Primarily relates to initial sales of securities to the public (i.e. initial reporting and registration at time of issuance) C. Regulates all sales of securities D. Regulates trading of securities subsequent to issuance (i.e. ongoing reporting)

Answer 1

The Securities Act of 1933 primarily relates to:

B. Initial sales of securities to the public (i.e. initial reporting and registration at the time of issuance).

1. The Securities Act of 1933, also known as the "Truth in Securities Act," was enacted to regulate the issuance and sale of securities to the public.

2. The act requires companies issuing securities to provide full and accurate disclosure of information to potential investors.

3. It primarily focuses on the initial sale of securities, requiring issuers to register with the Securities and Exchange Commission (SEC) and provide detailed information about the securities being offered.

4. The act aims to protect investors by ensuring they have access to all relevant information before making investment decisions.

5. By establishing requirements for initial reporting and registration at the time of issuance, the act promotes transparency and reduces the risk of fraudulent activities in the securities market.

In summary, the Securities Act of 1933 primarily relates to the initial sales of securities to the public, requiring issuers to register with the SEC and provide comprehensive disclosure of information to potential investors.