Federal Law
51. Securities Exchange Act of 1934

The Securities Exchange Act of 1934, codified at 15 U.S.C. Chapter 2B, is a landmark piece of federal securities regulation. While the Securities Act of 1933 governs the initial sale of securities, the '34 Act governs securities transactions on the secondary market (i.e., trading between investors). It was designed to ensure greater financial transparency and accuracy and to reduce fraud and manipulation.