Which of the following organizations insures you against your losses - ProProfs
     

Which of the following organizations insures you against your losses in the stock market?



A. FDIC (Federal Deposit Insurance Corporation)
B. FINRA (Financial Industry Regulatory Authority)
C. SEC (Securities and Exchange Commisiion)
D. None of the above
E. Don t know/Not sure

This question is part of

Investing Knowledge Quiz

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2 Answers

H. Jones

H. Jones, Web Content Writer, San Antonio,

Answered on Oct 11, 2018

Option D - None of these organizations insure you against your losses in stock market. Every investment made at the stock market is at your own risk.

Federal Deposit Insurance Corporation (FDIC) main function is to stabilize the economy and insuring deposits, it doe not secure stocks. Financial Industry Regulatory Authority (FINRA) educate investors, enforces certain rules and disciplines those that break the rules. Security and Exchange Commission protects investors, maintain fair, orderly and efficient market.

In conclusion, non of these organizations insure you against loss in the stock market.

John Smith

John Smith

Answered on Sep 08, 2016

None of the above -when you invest in stocks, you accept the risk that your investment may delcine as well as rise in value. a primary role of securities regulators such as finra and the sec is to ensure that securities laws and regulations are followed and to punish violators. the fdic generally insures checking, sabings, adn othe deposit accounts when an fdic-regulated bank fails. teh mission of the securities investor protection corporation (sipc) is to return funds and securities to investors if the brokerage firm holding these assets becomes insolvent.

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