Securities Act of 1933

The 1933 Securities Act was the first major federal law regulating the sale of securities to the public. It defines securities broadly, including stocks, bonds, and investment contracts, and aims to prevent fraud by requiring full disclosure of information about the company and the securities being offered. The Act mandates registration with the SEC unless an exemption applies, ensuring transparency and protecting investors. It remains relevant today, especially for startups, and works alongside the 1934 Act to regulate secondary sales.

Explain the significance of the registration requirement under the Securities Act of 1933.

What role does the Securities and Exchange Commission play in the context of the Securities Act of 1933?