SIE practice questioneasySecurities Act of 1933
Which of the following is primarily responsible for requiring companies to provide full and fair disclosure when issuing new securities to the public?
- ASecurities Act of 1933✓ Correct answer
- BSecurities Exchange Act of 1934
- CInvestment Advisers Act of 1940
- DSarbanes-Oxley Act
Explanation
Why A — Securities Act of 1933
The Securities Act of 1933 requires companies to provide full and fair disclosure when offering new securities to the public. The Exchange Act of 1934 regulates secondary trading, the Investment Advisers Act covers investment advisers, and the Sarbanes-Oxley Act is focused on corporate governance and accounting reform.
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