Crash Course
This event in 1929 led to the creation of the SEC.
What is the stock market crash?
The SEC can impose these financial penalties.
What are fines?
These businesses where investors buy and sell stocks fall under SEC oversight.
What are securities exchanges?
This type of security scrambles your data so only someone with the right key can read it.
What is encryption?
This classic scam pays early investors using money from new investors, rather than profits from real business activities.
What is a Ponzi scheme?
This year marks the founding of the SEC.
What is 1934?
Besides fines, the SEC can also obtain these legal orders to prevent future misconduct.
What are injunctions?
This term describes firms that help people buy and sell securities.
What are brokerage firms?
This is the practice of locking your phone or laptop with two or more methods of authentication.
What is multi-factor authentication (MFA)?
In this scam, victims are promised big rewards if they pay upfront fees for services or prizes that never arrive.
What is advance fee fraud?
This Act of Congress officially created the SEC.
What is the Securities Exchange Act of 1934?
SEC enforcement actions are aimed at maintaining this quality in markets.
What is integrity?
Firms that create and manage mutual funds are regulated by the SEC as these.
What are investment companies?
This small device stores your login credentials and plugs into your computer for extra security.
What is a security key (or hardware token)?
Scammers exploit trust within religious, ethnic, or social groups in this type of fraud.
What is affinity fraud?
The SEC was primarily created to protect this group.
Who are investors?
The SEC brings these types of actions against violators of securities laws.
What are civil enforcement actions?
Advisors who offer investment guidance for a fee must register with this body.
What is the SEC?
A password manager helps you avoid using this kind of risky password.
What is the same password for multiple sites?
These programs promise extremely high returns with little risk but are often unsustainable and fraudulent.
What are high-yield investment programs (HYIPs)?
The SEC is this type of federal agency.
What is independent?
Serious cases uncovered by the SEC are referred here for criminal prosecution.
What is the Department of Justice (DOJ)?
Dealers and brokers must meet these two criteria set by the SEC.
What are registration and compliance standards?
This is a secure way to connect to the internet and encrypt your browsing activity.
What is a Virtual Private Network (VPN)?
Fraudsters lure victims on Facebook, Instagram, or Twitter with fake investment opportunities or phishing links.
What is internet and social media fraud?