15 U.S.C. § 80b–1 — Findings

submitted 86 years ago by ch. 686 to r/title-15-COMMERCE-AND-TRADE · 169 words · no verdicts yet

in plain englishAI-generated · not legal advice

Congress found that investment advisers matter to the whole country, based on an SEC report and other facts. Advisers use the mail and interstate commerce to reach clients, and their advice usually involves securities traded across state lines. Because of how much this happens, it substantially affects interstate commerce, securities markets, banking, and the national economy.

This section states three findings behind the law, based on an SEC report under section 79z-4 and other facts. (1) Investment advisers give advice, counsel, publications, and reports to clients using the mail and interstate commerce. They also negotiate and carry out their contracts, subscription agreements, and other client arrangements the same way. (2) That advice usually deals with buying and selling securities — securities traded on national exchanges or in interstate over-the-counter markets, securities issued by companies doing business across state lines, and securities issued by national banks and Federal Reserve member banks. (3) All of this happens on a large enough scale to substantially affect interstate commerce, national securities exchanges, other securities markets, the national banking system, and the national economy.

the actual law source: uscode.house.gov ↗public domain

Upon the basis of facts disclosed by the record and report of the Securities and Exchange Commission made pursuant to section 79z–4 1 of this title, and facts otherwise disclosed and ascertained, it is found that investment advisers are of national concern, in that, among other things—

(1)

their advice, counsel, publications, writings, analyses, and reports are furnished and distributed, and their contracts, subscription agreements, and other arrangements with clients are negotiated and performed, by the use of the mails and means and instrumentalities of interstate commerce;

(2)

their advice, counsel, publications, writings, analyses, and reports customarily relate to the purchase and sale of securities traded on national securities exchanges and in interstate over-the-counter markets, securities issued by companies engaged in business in interstate commerce, and securities issued by national banks and member banks of the Federal Reserve System; and

(3)

the foregoing transactions occur in such volume as substantially to affect interstate commerce, national securities exchanges, and other securities markets, the national banking system and the national economy.

Source credit: (Aug. 22, 1940, ch. 686, title II, § 201, 54 Stat. 847.)

history & why it existsrecord from the source credit

1940Enacted · Act of Aug. 22, 1940, ch. 686 · 54 Stat. 847

A history note hasn’t been published yet. The record shows enactment by ch. 686 on 1940-08-22.

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