How Does The Securities And Exchange Commission Work?

By Timothy Sykes

Last updated on January 9, 2023
How Does The Securities And Exchange Commission Work? Thumbnail

Do you know what the Securities and Exchange Commission does?

This federal agency oversees thousands of companies and transactions all the time. So how do they do it?

I created this infographic to show how the SEC works, where it came from and how it protects you, the investor. We’ll look at each branch of the SEC and its specific role in enforcing securities and trading laws.

Click image to see a larger version

How does the Securities and Exchange Commission work?How does the Securities and Exchange Commission work?Timothy Sykes


The SEC protects investors and seeks to ensure fairness in the market. This federal commission was created out of necessity to restore public confidence in the market. Through its five divisions registers and maintains filings on companies selling securities and advising investors. When corporations or individuals violate securities and trading laws, it is the responsibility of the SEC to prosecute and enforce fairness in the market.

Without the SEC, it would be the wild west out there. With complex securities, volatile markets and investment advice coming from many sources, it’s valuable to understand how the SEC works.


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Comments (1)
Author imageTimothy Sykes
Hey Everyone,

As many of you already know I grew up in a middle class family and didn't have many luxuries. But through trading I was able to change my circumstances --not just for me -- but for my parents as well. I now want to help you and thousands of other people from all around the world achieve similar results!

Which is why I've launched my Trading Challenge. I’m extremely determined to create a millionaire trader out of one my students and hopefully it will be you.

So when you get a chance make sure you check it out.

PS: Don’t forget to check out my 30 Day Bootcamp, it will teach you everything you need to know about trading.

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