how did the public benefit from the federal securities act 
the main benefit of the securities act was to introduce disclosure requirements for new securities issues prior to its passage companies selling stocks or bonds could promise large profits without revealing key information about their companies the disclosure requirements helped investors better understand the true financial prospects of a company allowing them to make better investment decisions and safeguard their money the bottom linethe securities act of 1933 was the first federal law to regulate the securities industry it requires companies that sell stocks or bonds to the public to disclose certain information such as their assets financial health executives and a description of the security being sold it is now one of many laws that control securities offerings in the united states 