Are all broker/dealers registered with the SEC?
Most "brokers" and "dealers" must register with the SEC and join a "self-regulatory organization," or SRO. This section covers the factors that determine whether a person is a broker or dealer. It also describes the types of brokers and dealers that do not have to register with the SEC.
Does the SEC regulate broker-dealers?
United States. In the United States, broker-dealers are regulated under the Securities Exchange Act of 1934 by the Securities and Exchange Commission (SEC), a unit of the U.S. government.
How many broker-dealers are there?
The total number of broker-dealers registered with the Financial Industry Regulatory Authority continues to decline, falling by 2.3% — or by 82 firms — to 3,435 in 2020 from 3,517 in 2019, according to FINRA's 2021 industry snapshot.
What are broker/dealer firms?
A broker-dealer (B-D) is a person or firm in the business of buying and selling securities for its own account or on behalf of its customers. The term broker-dealer is used in U.S. securities regulation parlance to describe stock brokerages because most of them act as both agents and principals.