The SEC performs several critical functions, including:
Regulating securities markets: The SEC oversees securities exchanges, brokers, and dealers to ensure fair and orderly markets. Enforcing securities laws: The SEC enforces laws against market manipulation, insider trading, and other fraudulent practices. Facilitating capital formation: By ensuring that the securities markets operate efficiently, the SEC helps companies raise capital more effectively. Protecting investors: The SEC mandates disclosures of financial and other information to help investors make informed decisions.