Which federal agency enforces securities laws?

• A. Federal Trade Commission
• B. Securities and Exchange Commission
• C. Consumer Financial Protection Bureau
• D. National Credit Union Administration

Answer: (B)

Securities laws are enforced by the Securities and Exchange Commission. The SEC is the primary federal regulator for the securities markets, handling registration and oversight of issuers, brokers, dealers, and investment advisers, and taking enforcement actions against fraud, misrepresentation, insider trading, and other violations to protect investors and keep markets fair and orderly. The Federal Trade Commission focuses on broader consumer protection and competition issues, not the core enforcement of securities laws. The Consumer Financial Protection Bureau concentrates on consumer financial products and services, while the National Credit Union Administration oversees credit unions. Because enforcing securities laws is the SEC’s central mission, it’s the correct agency.