The Securities Exchange Act of 1934 primarily governed the secondary trading of securities like stocks and bonds. It was enacted to regulate transactions in the securities markets, including the trading of these securities after they have been issued. The Act established the Securities and Exchange Commission (SEC), which was given broad authority to oversee and enforce securities laws, ensuring fair and efficient markets, and protecting investors.
While the Act also included provisions that indirectly impacted issues related to corporate governance and reporting, its primary focus was on the trading of securities rather than the initial offer and sales, which were largely governed by the Securities Act of 1933.