Securities Regulation

A broker-dealer is a financial firm or individual that engages in the business of buying and selling securities, such as stocks, bonds, options, and other investment products, on behalf of clients or for their own account. They act as intermediaries between buyers and sellers in financial markets. Broker-dealers can provide various services, including executing trades, offering investment advice, underwriting securities offerings, facilitating mergers and acquisitions, and managing investment portfolios.

Broker-dealers are regulated by financial regulatory authorities in the jurisdictions where they operate, such as the Securities and Exchange Commission (SEC) in the United States. They are required to adhere to strict rules and regulations to ensure fair and transparent dealings in the financial markets and to protect the interests of investors. Additionally, they are often members of self-regulatory organizations (SROs) like the Financial Industry Regulatory Authority (FINRA) in the U.S., which further oversee their activities and enforce industry standards.

In New York, intrastate securities offerings are regulated by the New York Department of Law, also known as the New York Attorney General's Office. The specific division within the New York Attorney General's Office responsible for overseeing intrastate securities offerings is the Investor Protection Bureau.

Under New York's Martin Act, which grants broad authority to the Attorney General to investigate and prosecute securities fraud, the Investor Protection Bureau reviews and evaluates securities offerings conducted within the state of New York to ensure compliance with state securities laws. This includes reviewing offering documents, ensuring proper disclosure to investors, and investigating potential instances of fraud or misconduct.

It's important to note that while the New York Attorney General's Office oversees intrastate securities offerings within the state, offerings that are interstate or involve securities registered with the U.S. Securities and Exchange Commission (SEC) would be subject to federal securities laws and regulations enforced by the SEC.

See also The History of Securities Regulation, The Securities Act of 1933, The Exchange Act of 1934, The Trust Indenture Act of 1939, The Investment Advisers Act of 1940, The Investment Company Act of 1940, and Regulations S-K and S-X.