Security Agreement

Finance allah shmoop what is the national securities markets improvement

act Okay dateline nineteen ninety six What's going on in

the world One thing The internet Everyone is getting wired

Everything is getting wired and not just on espresso Starbucks

was growing fast back then to computers everywhere talking to

each other Yeah with massive structural change in the way

in which people do business Nineteen ninety six brought about

the advent of myriad new securities laws which were needed

as an update or sequel to the Acts in the

30s:40s One key change in this era was that borders

among investors evaporated Afghanistan was as close by as peoria

when it came to a click on an investor keyboard

Sitting in the office at home Well the notion of

borders among states which was already vague became infinitely opaque

and essentially any covered Security iii and investment made in

any element of the public realm became by default kind

of nationally registered security rather than something that only had

to follow the rules of one state or another The

sec the national organization for managing securities laws took control

over virtually all securities laws and strike aided the rules

so that they were way more granular and detailed in

specific So what does all this mean Well it means

that the investing world was becoming the wild wild west

again on lee It had the dot com extension on

the end of it the broader goal here was to

simplify rules as much as possible without impinge ng on

the liquidity of investors wanting to invest you know in

their underwear In practice the state centric blue sky laws

were then transformed to the federal government's purview in the

form of the sec to promote fairness in dealing well

specific provisions of law to find which covered securities are

exempt from state regulations These included any securities traded on

the national exchanges You know like nasdaq or the a

swell A cz mutual fund shares right because they're run

by big boys Bottom line Well the world is getting

smaller The notion of local securities laws is well kind

of going away and everyone is a fan of that

whole underwear investing things Yeah it's kind of nice