nThe Crash of 1929 and the Great Depression greatly undermined public confidence in the nation’s capital markets.
nThe 1933 Securities Act was designed to ensure that investors receive truthful information concerning securities (stocks and bonds).
nIt requires securities to be registered before being offered for sale through the mails, on securities exchanges, or any other facility of interstate
nIt allows certain exemptions for securities offered and sold exclusively to residents of the issuer’s state; however, states usually have their own laws often called
“Blue-sky laws” that frequently
parallel federal laws and regulations.