Author: SEC

Although investors sometimes ask the SEC for a list of a company’s shareholders, the SEC does not maintain shareholder lists. Under SEC rules, a company must provide shareholders with a process for contacting other shareholders in two limited situations. The first occurs during proxy solicitations – when shareholders solicit proxies in opposition to a company proposal or… Continue reading SHAREHOLDER LISTS, WHEN YOU CAN GET THEM

Investors must complete or “settle” their security transactions within two business days. This settlement cycle is known as “T+2,” shorthand for “trade date plus two days.”  T+2 means that when you buy a security, your payment must be received by your brokerage firm no later than two business days after the trade is executed. When… Continue reading SETTLING SECURITIES TRANSACTIONS, T+2

A bond that has a higher priority than another bond’s claim to the same class of assets in case of a default or bankruptcy. Settlement Date — The agreed date for the delivery of bonds and payment of funds.

An investment instrument such as a stock or bond.

If your brokerage firm goes out of business and is a member of the Securities Investor Protection Corporation (SIPC), then your cash and securities held by the brokerage firm may be protected up to $500,000, including a $250,000 limit for cash. When a SIPC member becomes insolvent, SIPC will ask a court to appoint a… Continue reading SECURITIES INVESTOR PROTECTION CORPORATION (SIPC)

Analyst recommendations can have a significant effect on a company’s stock price, especially when the recommendations are widely disseminated through television appearances or other electronic and print media.  The SEC receives a number of complaints about analysts who recommend buying a stock in a company from investors who believe the analyst has a financial stake… Continue reading SECURITIES ANALYST RECOMMENDATIONS

Federal securities laws may deem certain securities as restricted or control securities. Selling restricted or control securities in the marketplace can be a complicated process. Under federal securities laws, all offers and sales of securities must be registered with the SEC or qualify for some exemption from the registration requirements. If you have acquired restricted… Continue reading SECURITIES ACT RULE 144

Markets where existing securities are bought and sold.

Schedules 13D and 13G are commonly referred to as a “beneficial ownership reports.” The term “beneficial owner” is defined under SEC rules. It includes any person who directly or indirectly shares voting power or investment power (the power to sell the security). When a person or group of persons acquires beneficial ownership of more than… Continue reading SCHEDULES 13D AND 13G