What is the primary function of the Securities and Exchange Commission (SEC)?

The primary function of the Securities and Exchange Commission (SEC) is to oversee and regulate the securities industry. This includes protecting investors, maintaining fair, orderly, and efficient markets, and facilitating capital formation. The SEC administers and enforces securities laws that are designed to prevent fraud and insider trading, ensuring that investors have access to accurate information about public companies. This regulatory oversight plays a crucial role in maintaining investor confidence in the financial markets.

While promoting corporate social responsibility is important, it does not fall under the SEC's main regulatory functions. Similarly, managing the national economy is a broader objective that involves multiple governmental agencies and economic policies beyond the scope of the SEC's mission. Providing investment advice to consumers is not a function of the SEC; rather, its role is to regulate and make companies comply with relevant laws, leaving investors to make their own decisions based on the information provided.