securitiesregulationblognow

 

On October 29, 1929 the United States suffered Black Tuesday, the beginning of the worst financial crisis in our history. On this day the stock market took a deep dive, causes many American investors to lose a huge portion of their wealth. This even had a rippling effect through the rest of the economy as many Americans were forced to lay off huge portions of their workforce. This ripple was not contained to the American economy, as it led to financial crisis in many countries around the world. The Great Depression has shown to be one of the leading factors that caused World War 2. The Great Depression was caused by unregulated and irresponsible securities trading that was doomed to fail. This is why the governments of the world have passed securities regulations that work to stop this sort of financial crisis from happening again.

 

A security is a financial asset, and securities regulation look to regulate the trading of these assets. The first type of securities regulations that were passed was the Security Act of 1933. This act made it so that companies that were hoping to sell shares to the public were not able to defraud their investors with false information. This was the first of many securities regulations that looked at the secondary market, mutual funds, debt securities and more.

 

With the way that the economy has shifted to a world economy, securities regulations are more important today than ever before. When America is facing a major financial struggle, it could cause economies across the globe to fail. This is why one of the things that securities regulations focus on is Minilateralism. This is an economic diplomacy policy where global issues are addressed by all countries because they are all stakeholders. There are a lot of ways that securities regulations work to make it so no economy is destroyed by unregulated financial trading.

 

There are many reasons that investors and companies alike need to know about securities regulations and how the international financial market works. You are going to be able to find many books that will help you learn more about the different regulations that impact financial assets. This is going to help you to make the best investments with your money that are both responsible and profitable.

 

 

The Great Depression was a result of a financial market that did not have any kind of regulations in place. This is why there were many securities regulations passed that make it so a financial crisis like this will not happen again. Knowing more about securities regulations can help you be a better investor. You are going to be able to find a lot of information to help you learn more. Watch this video at https://www.youtube.com/watch?v=9AtrVcd8h0M and know more about securities regulation.