Historical frame
- Kind
- law
- Period
- Enacted May 27, 1933
- Jurisdiction
- United States
The Act made information provided to prospective investors central to the regulation of securities offerings.
Questions to carry forward
- What information would an investor need before buying newly offered shares?
- Does government registration guarantee that an investment is sound?
Claim disciplineEvidence boundaries
- The historical entry does not determine whether a modern transaction is registered, exempt, or outside the statute.
The Securities Act of 1933 was enacted on May 27, 1933. It addresses offers and sales of securities, such as shares and bonds. For offerings that require registration, the disclosure process provides investors with information about the company and the securities. A prospectus is the offering document provided to investors.
Financial statements are part of that information. Registration is not a government guarantee of an investment's quality or future return. Some offerings qualify for exemptions, so this history does not determine the requirements for a particular transaction.
Distinguish this offering-focused law from the Securities Exchange Act of 1934, which established the Securities and Exchange Commission and important continuing-reporting requirements.