Author: SEC

Once-a-year meetings where the chief executive officer reports on the year’s results to shareholders. At this meeting, shareholders vote to elect the board of directors and on other corporate business.

The stocks of most foreign companies that trade in the U.S. markets are traded as American Depositary Receipts (ADRs). U.S. depositary banks issue these stocks. Each ADR represents one or more shares of foreign stock or a fraction of a share. If you own an ADR, you have the right to obtain the foreign stock… Continue reading AMERICAN DEPOSITARY RECEIPTS (ADRS)

Alternative Trading Systems (ATSs) are SEC-regulated electronic trading systems that match orders for buyers and sellers of securities. An ATS is not a national securities exchange. However, an ATS may apply to the SEC to become a national securities exchange.  All current ATSs are “dark pools.”  Dark pools are trading systems that allow their users to place… Continue reading ALTERNATIVE TRADING SYSTEMS (ATSS)

Alternative mutual funds (sometimes called alt funds or liquid alts) are publicly offered, SEC-registered mutual funds that hold non-traditional investments or use complex investment and trading strategies.  Investors considering alt funds should be aware of their unique characteristics and risks. For more information, please read our Investor Bulletin:  Alternative Mutual Funds. 

An All-Or-None (AON) order is an order to buy or sell a stock that must be executed in its entirety, or not executed at all.  AON orders that cannot be executed immediately remain active until they are executed or cancelled.  Learn More.

After-hours trading, also known as extended-hours trading, refers to trading that occurs outside of regular trading hours. Regular trading hours for stocks traded on exchanges and certain other markets are from 9:30 a.m. to 4:00 p.m. Eastern Time. After-hours trading sessions may occur before or after regular trading hours. The duration of after-hours trading sessions… Continue reading AFTER-HOURS TRADING

Affinity fraud refers to investment scams that prey upon members of identifiable groups, such as religious or ethnic communities, the elderly, or professional groups. The fraudsters who promote affinity scams frequently are – or pretend to be – members of the group. They often enlist respected community or religious leaders from within the group to… Continue reading AFFINITY FRAUD

Advance fee frauds ask investors to pay a fee up front – in advance of receiving any proceeds, money, stock, or warrants – in order for the deal to go through.  The advance payment may be described as a fee, tax, commission, or incidental expense that will be repaid later.  Advance fee frauds may involve the… Continue reading ADVANCE FEE FRAUD

Interest earned on a security but not yet paid to the investor.

nder the federal securities laws, a company that offers or sells its securities must register the securities with the SEC or find an exemption from the registration requirements. The federal securities laws provide companies with a number of exemptions. For some of the exemptions, such as Rule 506 of Regulation D, a company may sell its securities to… Continue reading ACCREDITED INVESTORS