ShmoopTube

Where Monty Python meets your 10th grade teacher.

Search Thousands of Shmoop Videos


Board of Directors Videos 111 videos

Finance: What are Passive Investing and Passive Investors?
2 Views

What are Passive Investing and Passive Investors? Passive investing and passive investors are ones who opt to ride the market out over the long ter...

Finance: What are Secured Bonds v Unsecured Bonds, and what is Non-Recourse Debt: Debentures (Subordinated and Senior)?
68 Views

When a bond is secured, it means it's protected, i.e. there are assets that would be forfeited if repayment is not made. When it's unsecured... it'...

Finance: What is Power Of Attorney (Trading Authorization)?
2 Views

Power of attorney refers to the authorization to conduct business on legal and financial matters on behalf of another party. So...choose wisely.

See All

Finance: What is The Securities Amendments Act Of 1975? 9 Views


Share It!


Description:

The Securities Amendments Act of 1975 created a national market clearing system to standardize stock prices and transaction costs from state to state.

Language:
English Language

Transcript

00:00

finance a la shmoop what is the Securities Amendments Act of 1975

00:08

alright people before 1975 we're thinking Nixon era here trading stocks [People greeting Nixon]

00:14

was very much a regional thing New York was the Sun and the rest of the world

00:20

well more or less just orbited the 1975 Act created a national market clearing [Countries orbiting galaxy]

00:25

system so that a share of IBM traded for generally the same price in California

00:30

Georgia New Hampshire and New York this way smaller less liquid regional systems [US states appear beside IBM]

00:37

or regional pieces or regional trading bins weren't penalized with higher

00:42

transaction costs than you know those suit-and-tie wearing wolves on Wall [Transaction costs crossed out]

00:47

Street and that's pretty much it that's what the 1975 securities Amendment Act

00:51

was all about basically it just was passed to ensure that the SEC would

00:55

consider any new regulation that might come down the pike from that point

00:59

forward in terms of fairness across a level playing field [Moving through a tunnel]

01:03

nationally yeah fairness or the wind [Football player placing football on the field]

Related Videos

GED Social Studies 1.1 Civics and Government
39794 Views

GED Social Studies 1.1 Civics and Government

Fake News
11938 Views

How do you tell fake news from real news?

Finance: What is Bankruptcy?
260 Views

What is bankruptcy? Deadbeats who can't pay their bills declare bankruptcy. Either they borrowed too much money, or the business fell apart. They t...

Finance: What is a Dividend?
1777 Views

What's a dividend? At will, the board of directors can pay a dividend on common stock. Usually, that payout is some percentage less than 100 of ear...

Finance: How Are Risks and Rewards Related?
589 Views

How are risk and reward related? Take more risk, expect more reward. A lottery ticket might be worth a billion dollars, but if the odds are one in...