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    Role and Purpose of the SEC

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    What is the role of the SEC? Why is this role so important?

    © BrainMass Inc. brainmass.com June 3, 2020, 7:23 pm ad1c9bdddf

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    The SEC was created shortly after the "Great Depression". "During the 1920s, approximately 20 million large and small shareholders took advantage of post-war prosperity and set out to make their fortunes in the stock market. It is estimated that of the $50 billion in new securities offered during this period, half became worthless" (SEC, 2006).
    Thus when the stock market crashed in October 1929, countless ...

    Solution Summary

    248 words explaining the origins and usefulness of the Securities and Exchange Commission, with a reference.