A public company, publicly traded company, publicly held company, publicly listed company, or public limited company is a corporation whose ownership is dispersed among the general public in many shares of stock which are traded on a stock exchange or in over the counter markets. In some jurisdictions, public companies over a certain size must be listed on an exchange. A public company can be unlisted. Public companies are formed within the legal systems of particular nations, therefore have national associations and formal designations which are distinct and separate. For example one of the main public company forms in the United States is called a limited liability company, in France is called a "society of limited responsibility", in Britain a public limited company, in Germany a company with limited liability. While the general idea of a public company may be similar, differences are meaningful, are at the core of international law disputes with regard to industry and trade. In the early modern period, the Dutch developed several financial instruments and helped lay the foundations of modern financial system.
The Dutch East India Company became the first company in history to issue bonds and shares of stock to the general public. In other words, the VOC was the first publicly traded company, because it was the first company to be actually listed on an official stock exchange. While the Italian city-states produced the first transferable government bonds, they did not develop the other ingredient necessary to produce a fledged capital market: corporate shareholders; as Edward Stringham notes, "companies with transferable shares date back to classical Rome, but these were not enduring endeavors and no considerable secondary market existed." The securities of a publicly traded company are owned by many investors while the shares of a held company are owned by few shareholders. A company with many shareholders is not a publicly traded company. In the United States, in some instances, companies with over 500 shareholders may be required to report under the Securities Exchange Act of 1934. Public companies possess some advantages over held businesses.
Publicly traded companies are able to raise funds and capital through the sale of shares of stock. This is the reason publicly traded corporations are important; the profit on stock is gained in form of capital gain to the holders. The financial media and the public are able to access additional information about the business, since the business is legally bound, motivated, to publicly disseminate information regarding the financial status and future of the company to its many shareholders and the government; because many people have a vested interest in the company's success, the company may be more popular or recognizable than a private company. The initial shareholders of the company are able to share risk by selling shares to the public. If one were to hold a 100% share of the company, he or she would have to pay all of the business's debt; this increases asset liquidity and the company does not need to depend on funding from a bank. For example, in 2013 Facebook founder Mark Zuckerberg owned 29.3% of the company's class A shares, which gave him enough voting power to control the business, while allowing Facebook to raise capital from, distribute risk to, the remaining shareholders.
Facebook was a held company prior to its initial public offering in 2012. If some shares are given to managers or other employees, potential conflicts of interest between employees and shareholders will be remitted; as an example, in many tech companies, entry-level software engineers are given stock in the company upon being hired. Therefore, the engineers have a vested interest in the company succeeding financially, are incentivized to work harder and more diligently to ensure that success. Many stock exchanges require that publicly traded companies have their accounts audited by outside auditors, publish the accounts to their shareholders. Besides the cost, this may make useful information available to competitors. Various other annual and quarterly reports are required by law. In the United States, the Sarbanes–Oxley Act imposes additional requirements; the requirement for audited books is not imposed by the exchange known as OTC Pink. The shares may be maliciously held by outside shareholders and the original founders or owners may lose benefits and control.
The principal-agent problem, or the agency problem is a key weakness of public companies. The separation of a company's ownership and control is prevalent in such countries as U. K and U. S. In the United States, the Securities and Exchange Commission requires that firms whose stock is traded publicly report their major shareholders each year; the reports identify all institutional shareholders, all company officials who own shares in their firm, any individual or institution owning more than 5% of the firm's stock. For many years, newly created companies were held but held initial
Sunnyvale is a city located in Santa Clara County, California. As of the 2010 United States Census, the population was 140,095. Sunnyvale is the seventh most populous city in the San Francisco Bay Area and one of the major cities comprising Silicon Valley, it is bordered by portions of San Jose to the north, Moffett Federal Airfield to the northwest, Mountain View to the northwest, Los Altos to the southwest, Cupertino to the south, Santa Clara to the east. It lies along the historic El Camino Real and Highway 101; as part of California's high-tech area known as Silicon Valley, Sunnyvale is the headquarters location of many technology companies and is a major operating center for many more. It is home to several aerospace/defense companies. Sunnyvale was the home to Onizuka Air Force Station referred to as "the Blue Cube" due to the color and shape of its windowless main building; the facility known as Sunnyvale Air Force Station, was named for the deceased Space Shuttle Challenger astronaut Ellison Onizuka.
It served as an artificial satellite control facility of the U. S. has since been decommissioned and demolished. Sunnyvale is one of the few U. S. cities to have a single unified Department of Public Safety, where all personnel are trained as firefighters, police officers, EMTs, so they can respond to an emergency in any of the three roles. Library services for the city are provided by the Sunnyvale Public Library, located at the Sunnyvale Civic Center; when the Spanish first arrived in the 1770s at the Santa Clara Valley, it was populated by the Ohlone Native Americans. However early on with the arrival of the Spaniards, smallpox and other new diseases reduced the Ohlone population. In 1777, Mission Santa Clara was founded by Franciscan missionary Padre Junipero Serra and was located in San Jose. In 1842, Rancho Pastoria de las Borregas was granted to his wife Inez Castro. Portions of the land given in this grant developed into the cities of Mountain View and Sunnyvale. Two years in 1844, another land grant was provided to Lupe Yñigo, one of the few Native Americans to hold land grants.
His land grant was first called Rancho Posolmi, named in honor of a village of the Ohlone that once stood in the area. Rancho Posolmi was known as Rancho Ynigo. Martin Murphy Jr. came to California with his father as part of the Stephens-Townsend-Murphy Party in 1844. In 1850, Martin Murphy Jr. bought a piece of Rancho Pastoria de las Borregas for $12,500. Murphy established a wheat ranch named Bay View. Murphy had the first wood frame house in Santa Clara County; the house was demolished in 1961 but was reconstructed in 2008 as the Sunnyvale Heritage Park Museum. When he died in 1884, his land was divided among his heirs. In 1860, The San Francisco and San Jose Rail Road was allowed to lay tracks on Bay View and established Murphy Station. Lawrence Station was established on the southern edge of Bay View. In the 1870s, small fruit orchards replaced many large wheat farms, because wheat farming turned uneconomical due to county and property tax laws and soil degradation. In 1871, Dr. James M. Dawson and his wife Eloise established the first fruit cannery in the county.
Fruit agriculture for canning soon became a major industry in the county. The invention of the refrigerated rail car further increased the viability of an economy based upon fruit; the fruit orchards became so prevalent that in 1886, the San Jose Board of Trade called Santa Clara County the "Garden of the World". In the 1880s, Chinese workers made up one third of the farm labor in Santa Clara County; this percentage reduced over time. In the following decade, the 1890s, many immigrants from Italy, the Azores and Japan arrived to work in the orchards. In 1897, Walter Everett Crossman began selling real estate, he advertised the area as "Beautiful Murphy" and in the 1900s, as "the City of Destiny". In 1897, Encina School opened as the first school in Murphy. Children in the town had to travel to Mountain View for school. In 1901, the residents of Murphy were informed they could not use the names Encinal or Murphy for their post office. Sunnyvale was given its current name on March 24, 1901, it was named Sunnyvale as it is located in a sunny region adjacent to areas with more fog.
Sunnyvale in 1904, dried fruit production began. Two years Libby, McNeill & Libby, a Chicago meat-packing company, decided to open its first fruit-packing factory in Sunnyvale. Today, a water tower painted to resemble the first Libby's fruit cocktail can label identifies the former site of the factory. In 1906, the Joshua Hendy Iron Works relocated from San Francisco to Sunnyvale after the company's building was destroyed by fire after the 1906 earthquake; the ironworks was the first non-agricultural industry in the town. The company switched from producing mining equipment to other products such as marine steam engines. In 1912, the residents of Sunnyvale voted to incorporate, Sunnyvale became an official city. Fremont High School first opened in 1923. In 1924, Edwina Benner was elected to her first term as mayor of Sunnyvale, she was the second female mayor in the history of the state of California. In 1930, Congress decided to place the West Coast dirigible base in Sunnyvale after "buying" the 1,000-acre parcel of farmland bordering the San Francisco Bay from the city for $1.
This naval airfield was renamed Moffett Naval Air Station and Moffett Federal Airfield and is called Moffet
The Nasdaq Stock Market is an American stock exchange. It is the second-largest stock exchange in the world by market capitalization, behind only the New York Stock Exchange located in the same city; the exchange platform is owned by Nasdaq, Inc. which owns the Nasdaq Nordic and Nasdaq Baltic stock market network and several U. S. stock and options exchanges. "Nasdaq" was an acronym for the National Association of Securities Dealers Automated Quotations. It was founded in 1971 by the National Association of Securities Dealers, which divested itself of Nasdaq in a series of sales in 2000 and 2001; the Nasdaq Stock Market is owned and operated by Nasdaq, Inc. the stock of, listed on its own securities exchange on July 2, 2002, under the ticker symbol NDAQ. The Nasdaq Stock Market began trading on February 8, 1971, it was the world's first electronic stock market. At first, it was a "quotation system" and did not provide a way to perform electronic trades; the Nasdaq Stock Market helped lower the spread but was unpopular among brokerages which made much of their money on the spread.
The NASDAQ Stock Market assumed the majority of major trades, executed by the over-the-counter system of trading, but there are still many securities traded in this fashion. As late as 1987, the Nasdaq exchange was still referred to as "OTC" in media reports and in the monthly Stock Guides issued by Standard & Poor's Corporation. Over the years, the Nasdaq Stock Market became more of a stock market by adding trade and volume reporting and automated trading systems, it was the first stock market in the United States to trade online, highlighting Nasdaq-traded companies and closing with the declaration that the Nasdaq Stock Market is "the stock market for the next hundred years". The Nasdaq Stock Market attracted new growth companies, including Microsoft, Cisco and Dell, it helped modernize the IPO, its main index is the NASDAQ Composite, published since its inception. However, its exchange-traded fund tracks the large-cap NASDAQ-100 index, introduced in 1985 alongside the NASDAQ Financial-100 Index, which tracks the largest 100 companies in terms of market capitalization.
In 1992, the Nasdaq Stock Market joined with the London Stock Exchange to form the first intercontinental linkage of securities markets. The National Association of Securities Dealers spun off the Nasdaq Stock Market in 2000 to form a publicly traded company. On March 10, 2000, the NASDAQ Composite peaked at 5,132.52, but fell to 3,227 by April 17, in the following 30 months fell 78% from its peak. In 2006, the status of the Nasdaq Stock Market was changed from a stock market to a licensed national securities exchange. In 2010, Nasdaq merged with OMX, a leading exchange operator in the Nordic countries, expanded its global footprint, changed its name to the NASDAQ OMX Group. To qualify for listing on the exchange, a company must be registered with the United States Securities and Exchange Commission, must have at least three market makers and must meet minimum requirements for assets, public shares, shareholders. In February 2000, in the wake of an announced merger of NYSE Euronext with Deutsche Börse, speculation developed that NASDAQ OMX and Intercontinental Exchange could mount a counter-bid of their own for NYSE.
NASDAQ OMX could be looking to acquire the American exchange's cash equities business, ICE the derivatives business. At the time, "NYSE Euronext's market value was $9.75 billion. Nasdaq was valued at $5.78 billion, while ICE was valued at $9.45 billion." Late in the month, Nasdaq was reported to be considering asking either ICE or the Chicago Mercantile Exchange to join in what would have to be, if it proceeded, an $11–12 billion counterbid. In 2005, NASDAQ acquirred Instinet for $1.9 billion retaining the INET ECN and subsequently sellin the agency brokerage business to Silver Lake Partners and Instinet management. The European Association of Securities Dealers Automatic Quotation System was founded as a European equivalent to the Nasdaq Stock Market, it became NASDAQ Europe. Operations were shut however, as a result of the burst of the dot-com bubble. In 2007, NASDAQ Europe was revived as Equiduct, is operating under Börse Berlin. On June 18, 2012, Nasdaq OMX became a founding member of the United Nations Sustainable Stock Exchanges Initiative on the eve of the United Nations Conference on Sustainable Development.
In November 2016, Nasdaq chief operating officer Adena Friedman was promoted to the role of CEO, becoming the first woman to run a major exchange in the U. S. In 2016, Nasdaq earned $272 million in listings-related revenues. In October 2018, the SEC ruled that the NYSE and Nasdaq did not justify the continued price increases when selling market data. Nasdaq quotes are available at three levels: Level 1 shows the highest bid and lowest ask—inside quote. Level 2 shows all public quotes of market makers together with information of market dealers wishing to buy or sell stock and executed orders. Level 3 allows them to enter their quotes and execute orders; the Nasdaq Stock Market sessions eastern time are: 4:00 am to 9:30 am premarket session 9:30 am to 4:00 pm normal trading session 4:00 pm to 8:00 pm postmarket sessionThe Nasdaq Stock Market averages about 253 trading days per year. The Nasdaq Stock Market has three different market tiers: Capital Market is an equity market for companies that have relatively
Apollo Education Group
Apollo Education Group, Inc. is an American corporation based in the South Phoenix area of Phoenix, with an additional corporate office in Chicago, Illinois. The company owns and operates several higher-learning institutions, including the University of Phoenix, BPP Holdings in the United Kingdom, University for the Arts and Communication in Santiago and Universidad Latinoamericana in Mexico. On May 8, 2016, the company announced its sale to a group of private investors for $1.14 billion going private. On February 1, 2017, Apollo Education Group Inc announced the completion of its acquisition by a consortium of investors including The Vistria Group, LLC and funds affiliated with Apollo Global Management, LLC. Apollo Education Group, Inc. was founded in 1973 by John D. Murphy. Corporate revenues for the year ending August 31, 2005 were $2.251 billion. In 2008, Apollo Group formed a joint venture with Carlyle Group, called Apollo Global, to make international acquisitions. Apollo purchased schools in Mexico and ChileAs of 5 October 2011, Apollo Group had a market capitalization of $5.36 billion and a price-to-earnings ratio of 13.22.
The Apollo Group announced quarterly results on 30 June 2011. The company reported $1.45 in earnings per share for the previous quarter, exceeding the Thomson Reuters estimate of $1.33 by $0.12. Apollo Group's quarterly revenue was down 7.6% on a year-over-year basis. In March 2011 the Apollo Group sold its corporate headquarters in Arizona and leased it back in order to raise $170 million in cash; the deal with Cole Real Estate Investments included a 20-year lease requiring Apollo to remain in the complex. "In our view, it does not change the view of the company. Apollo isn't hungry for cash: It carries little debt but generates $4 billion in revenue and has $650 million in net income and $1.5 billion in cash on its balance sheet," commented Peter Wahlstrom of Morningstar, an investment-research company. Revenue of the company continued to fall: in the fiscal year ending in August 31, 2011, the net revenue was $4.7 billion. The operating income during this period fell from $956 million in 2011, to $676 million in 2012, to $427 million in 2013.
The company attributed this to a decline in enrollment, with degreed enrollment declining from 380,000 in 2011, to 328,000 in 2012, to 269,000 in 2013. In 2015, co-founder John D. Murphy argued that Apollo Group "lost its direction when it abandoned its roots, which were serving working adults, not recent high school graduates." On May 6, 2016, the shareholders of the company approved the sale of the firm for $1.14 billion to a group of private investors: Najafi Companies, a Phoenix firm, the New York-based Apollo Global Management and, the Vistria Group of Chicago. The offer amounted to $10 per share, compared to its high of $89/share in 2009; the delisting was completed on February 1, 2017. Anthony W. Miller is Apollo Education Group's Chairman; the University of Phoenix is a wholly owned subsidiary of the Apollo Education Group. The University of Phoenix is one of the largest higher education providers in North America; the university has 40 campuses and confers degrees in over 100 degree programs at the associate, bachelor's, master's and doctoral levels.
The University of Phoenix has an open enrollment admission policy only requiring a high-school diploma, GED, or an equivalent qualification. The school provides associate or bachelor's degree applicants opportunity for advanced placement through its prior learning assessment, through which, aside from previous coursework, college credit can come from experiential learning essays, corporate training, certificates or licenses. University of Phoenix students owe more than $35 billion in student loan debt, the most of any US college. In 2014, University of Phoenix was highlighted in a Time.com article titled "The 5 Colleges That Leave the Most Students Crippled By Debt." Apollo Group formed Apollo Global to manage and form subsidiaries and holdings overseas. As part of their first acquisitions, Apollo Global acquired University for the Arts and Communication in Chile as well as the now defunct Meritus University in Canada. Apollo Global is a joint venture between the Carlyle Group; the two partners invested $1 billion in Apollo Global.
The Apollo Group invested $801 million and owns 80.1% of the new company. Carlyle controls the remaining shares. Apollo Global replaced Apollo International. Apollo Global changed its name to Vanta Education, its current holdings are BPP, FAEL,Open Colleges, ULA BPP Holdings is a holding company of the United Kingdom-based provider of professional and academic education. The Company is divided into BPP Professional Education and BPP University. BPP University is a United Kingdom degree-awarding body with four schools: BPP Business School, BPP Law School, BPP School of Health and BPP School of Foundation and English Language Studies. Apollo Global acquired BPP Holdings in the United Kingdom for $607 million in July 2009; the Universidad Latinoamericana in Mexico was acquired by the Apollo Group in 2007. Open Colleges in Australia was acquired for a 70% share agreement by the Apollo Group in 2013. Apollo Group announced in August 2011 a $75 million deal to buy Carnegie Learning along with a separate agreement to acquire related technology from CMU for $21.5 million, to be paid over 10 years.
In 2007, Apollo Group purchased Aptimus for $48 million. Aptimus is a full-service, in-house marketing agency for Apollo Group education institutions, including the University of Phoenix, Axia College, the Institute for Professional Development, Olympus High School, Insight School. Lut
United States Department of Veterans Affairs
The United States Department of Veterans Affairs is a federal Cabinet-level agency that provides near-comprehensive healthcare services to eligible military veterans at VA medical centers and outpatient clinics located throughout the country. While veterans benefits have been provided since the American Revolutionary War, an veteran-focused federal agency, the Veterans Administration, was not established until 1930, became the cabinet-level Department of Veterans Affairs in 1989; the VA employs 377,805 people at hundreds of Veterans Affairs medical facilities, benefits offices, cemeteries. In Fiscal Year 2016, net program costs for the department were $273 billion, which includes VBA Actuarial Cost of $106.5 billion for compensation benefits. The long-term actuarial accrued liability is $2.491 trillion for compensation benefits. The agency is led by the Secretary of Veterans Affairs, who—being a cabinet member—is appointed by the President with the advice and consent of the Senate. In May 2014, it was revealed that veterans died while waiting for their appointments during extended delays in getting care at the Veterans Health Administration.
An investigation found that VA personnel falsified scheduling data to make it seem as if they had met scheduling targets. The Continental Congress of 1776 encouraged enlistments during the American Revolutionary War by providing pensions for soldiers who were disabled. Direct medical and hospital care given to veterans in the early days of the U. S. was provided by the individual communities. In 1811, the first domiciliary and medical facility for veterans was authorized by the federal government, but not opened until 1834. In the 19th century, the nation's veterans assistance program was expanded to include benefits and pensions not only for veterans, but their widows and dependents. After the end of the American Civil War in 1865, many state veterans' homes were established. Since domiciliary care was available at all state veterans homes, incidental medical and hospital treatment was provided for all injuries and diseases, whether or not of service origin. Indigent and disabled veterans of the Civil War, Indian Wars, Spanish–American War, Mexican Border period as well as discharged regular members of the Armed Forces were cared for at these homes.
Congress established a new system of veterans benefits when the United States entered World War I in 1917. Included were programs for disability compensation, insurance for service persons and veterans, vocational rehabilitation for the disabled. By the 1920s, the various benefits were administered by three different federal agencies: the Veterans Bureau, the Bureau of Pensions of the Interior Department, the National Home for Disabled Volunteer Soldiers; the establishment of the Veterans Administration came in 1930 when Congress authorized the president to "consolidate and coordinate Government activities affecting war veterans". The three component agencies became bureaus within the Veterans Administration. Brigadier General Frank T. Hines, who directed the Veterans Bureau for seven years, was named as the first Administrator of Veterans Affairs, a job he held until 1945; the close of World War II resulted in not only a vast increase in the veteran population, but a large number of new benefits enacted by Congress for veterans of the war.
In addition, during the late 1940s, the VA had to contend with aging World War I veterans. During that time, "the clientele of the VA increased five fold with an addition of nearly 16,000,000 World War II veterans and 4,000,000 World War I veterans". Prior to World War II, in response to scandals at the Veterans Bureau, programs that cared for veterans were centralized in Washington, D. C; this centralization caused delays and bottlenecks as the agency tried to serve the World War II veterans. As a result, the VA went through a decentralization process, giving more authority to the field offices; the World War II GI Bill was signed into law on 22 June 1944, by President Franklin D. Roosevelt."The United States government began serious consolidated services to veterans in 1930. The GI Bill of Rights, passed in 1944, had more effect on the American way of life than any other legislation - with the possible exception of the Homestead Act."The VA health care system has grown from 54 hospitals in 1930 to include 153 medical centers.
VA health care facilities provide a broad spectrum of medical and rehabilitative care. The responsibilities and benefits programs of the Veterans Administration grew enormously during the following six decades. Further educational assistance acts were passed for the benefit of veterans of the Korean War, the Vietnam Era, the introduction of an "all-volunteer force" in the 1970s, the Persian Gulf War, those who served following the attacks of September 11, 2001; the Department of Veterans Affairs Act of 1988 changed the former Veterans Administration, an independent government agency established in 1930 to see to the needs of World War I veterans, into a Cabinet-level Department of Veterans Affairs. It was signed into law by President Ronald Reagan on 25 October 1988, but came into effect under the term of
A ticker symbol or stock symbol is an abbreviation used to uniquely identify publicly traded shares of a particular stock on a particular stock market. A stock symbol may consist of numbers or a combination of both. "Ticker symbol" refers to the symbols. Stock symbols are unique identifiers assigned to each security traded on a particular market. A stock symbol can consist of letters, numbers, or a combination of both, is a way to uniquely identify that stock; the symbols were kept as short as possible to reduce the number of characters that had to be printed on the ticker tape, to make it easy to recognize by traders and investors. The allocation of symbols and formatting convention is specific to each stock exchange. In the US, for example, stock tickers are between 1 and 4 letters and represent the company name where possible. For example, US-based computer company stock Apple Inc. traded on the NASDAQ exchange has the symbol AAPL, while the motor company Ford's stock, traded on the New York Stock Exchange has the single-letter ticker F.
In Europe, most exchanges use three-letter codes, for example Dutch consumer goods company Unilever traded on the Amsterdam Euronext exchange has the symbol UNA. While in Asia, numbers are used as stock tickers to avoid issues for international investors when using non-Latin scripts. For example, the bank HSBC's stock traded on the Hong Kong Stock Exchange has the ticker symbol 0005. Symbols sometimes change to reflect mergers. Prior to the 1999 merger with Mobil Oil, Exxon used a phonetic spelling of the company "XON" as its ticker symbol; the symbol of the firm after the merger was "XOM". Symbols are sometimes reused. In the US the single-letter symbols are sought after as vanity symbols. For example, since Mar 2008 Visa Inc. has used the symbol V, used by Vivendi which had delisted and given up the symbol. To qualify a stock, both the ticker and the exchange or country of listing needs to be known. On many systems both must be specified to uniquely identify the security; this is done by appending the location or exchange code to the ticker.
Although stock tickers identify a security, they are exchange dependent limited to stocks and can change. These limitations have led to the development of other codes in financial markets to identify securities for settlement purposes; the most prevalent of these is the International Securities Identifying Number. An ISIN uniquely identifies a security and its structure is defined in ISO 6166. Securities for which ISINs are issued include bonds, commercial paper and warrants; the ISIN code is a 12-character alpha-numerical code that does not contain information characterizing financial instruments, but serves for uniform identification of a security at trading and settlement. The ISIN identifies not the exchange on which it trades. For instance, Daimler AG stock trades on twenty-two different stock exchanges worldwide, is priced in five different currencies. ISIN cannot specify a particular trade in this case, another identifier the three- or four-letter exchange code will have to be specified in addition to the ISIN.
While a stock ticker identifies a security that can be traded, stock market indices are sometimes assigned a symbol though they can not be traded. Symbols for indices are distinguished by adding a symbol in front of the name, such as a caret or a dot. For example, Reuters lists the Nasdaq Composite index under the symbol. IXIC. In Canada the Toronto Stock Exchange TSX and the TSXV use the following special codes after the ticker symbol: In the United Kingdom, prior to 1996, stock codes were known as EPICs, named after the London Stock Exchange's Exchange Price Information Computer. Following the introduction of the Sequence trading platform in 1996, EPICs were renamed Tradable Instrument Display Mnemonics, but they are still referred to as EPICs. Stocks can be identified using their SEDOL number or their ISIN. In the United States, modern letter-only ticker symbols were developed by Standard & Poor's to bring a national standard to investing. A single company could have many different ticker symbols as they varied between the dozens of individual stock markets.
The term ticker refers to the noise made by the ticker tape machines once used by stock exchanges. The S&P system was standardized by the securities industry and modified as years passed. Stock symbols for preferred stock have not been standardized; some companies use a well-known product as their ticker symbol. Belgian brewer InBev, the brewer of Budweiser beer, uses "BUD" as its three-letter ticker for American Depository Receipts, symbolizing its premier product in the United States, its rival, Molson Coors Brewing Company, uses a beer-related symbol, "TAP". Southwest Airlines pays tribute to its headquarters at Love Field in Dallas through its "LUV" symbol. Cedar Fair Entertainment Company, which operates large amusement parks in the United States, uses "FUN" as its symbol. Harley-Davidson uses "HOG" for its Harley Owners Group. Yamana Gold uses "AUY", because on the periodic table of elements. Sotheby's uses the symbol "BID". While most symbols come from the company's name, sometimes it happens the other way around.
Tricon Global, owner of KFC, Pi
U.S. Securities and Exchange Commission
The U. S. Securities and Exchange Commission is an independent agency of the United States federal government; the SEC holds primary responsibility for enforcing the federal securities laws, proposing securities rules, regulating the securities industry, the nation's stock and options exchanges, other activities and organizations, including the electronic securities markets in the United States. In addition to the Securities Exchange Act of 1934, which created it, the SEC enforces the Securities Act of 1933, the Trust Indenture Act of 1939, the Investment Company Act of 1940, the Investment Advisers Act of 1940, the Sarbanes–Oxley Act of 2002, other statutes; the SEC was created by Section 4 of the Securities Exchange Act of 1933. The SEC has a three-part mission: to protect investors. To achieve its mandate, the SEC enforces the statutory requirement that public companies and other regulated companies submit quarterly and annual reports, as well as other periodic reports. In addition to annual financial reports, company executives must provide a narrative account, called the "management discussion and analysis", that outlines the previous year of operations and explains how the company fared in that time period.
MD&A will also touch on the upcoming year, outlining future goals and approaches to new projects. In an attempt to level the playing field for all investors, the SEC maintains an online database called EDGAR online from which investors can access this and other information filed with the agency. Quarterly and semiannual reports from public companies are crucial for investors to make sound decisions when investing in the capital markets. Unlike banking, investment in the capital markets is not guaranteed by the federal government; the potential for big gains needs to be weighed against that of sizable losses. Mandatory disclosure of financial and other information about the issuer and the security itself gives private individuals as well as large institutions the same basic facts about the public companies they invest in, thereby increasing public scrutiny while reducing insider trading and fraud; the SEC makes reports available to the public through the EDGAR system. The SEC offers publications on investment-related topics for public education.
The same online system takes tips and complaints from investors to help the SEC track down violators of the securities laws. The SEC adheres to a strict policy of never commenting on the existence or status of an ongoing investigation. Prior to the enactment of the federal securities laws and the creation of the SEC, there existed so-called blue sky laws, they were enacted and enforced at the state level and regulated the offering and sale of securities to protect the public from fraud. Though the specific provisions of these laws varied among states, they all required the registration of all securities offerings and sales, as well as of every U. S. stockbroker and brokerage firm. However, these blue sky laws were found to be ineffective. For example, the Investment Bankers Association told its members as early as 1915 that they could "ignore" blue sky laws by making securities offerings across state lines through the mail. After holding hearings on abuses on interstate frauds, Congress passed the Securities Act of 1933, which regulates interstate sales of securities at the federal level.
The subsequent Securities Exchange Act of 1934 regulates sales of securities in the secondary market. Section 4 of the 1934 act created the U. S. Securities and Exchange Commission to enforce the federal securities laws; the Securities Act of 1933 is known as the "Truth in Securities Act" and the "Federal Securities Act", or just the "1933 Act". Its goal was to increase public trust in the capital markets by requiring uniform disclosure of information about public securities offerings; the primary drafters of 1933 Act were Huston Thompson, a former Federal Trade Commission chairman, Walter Miller and Ollie Butler, two attorneys in the Commerce Department's Foreign Service Division, with input from Supreme Court Justice Louis Brandeis. For the first year of the law's enactment, the enforcement of the statute rested with the Federal Trade Commission, but this power was transferred to the SEC following its creation in 1934. In 1934, Roosevelt named his friend Joseph P. Kennedy, a self-made multimillionaire financier and a leader among the Irish-American community, as the insider-as-chairman who knew Wall Street well enough to clean it up.
Two of the other five commissioners were Ferdinand Pecora. Kennedy added a number of intelligent young lawyers, including William O. Douglas and Abe Fortas, both of whom became Supreme Court justices. Kennedy's team defined the mission and operating mode for the SEC, making full use of its wide range of legal powers; the SEC had four missions. First and most important was to restore investor confidence in the securities market, which had collapsed because of doubts about its internal integrity, fears of the external threats posed by anti-business elements in the Roosevelt administration. Second, in terms of integrity, the SEC had to get rid of the penny-ante swindles based on fake i