What does the Securities and Exchange Commission (SEC) do?

The Securities and Exchange Commission (SEC) plays a crucial role in maintaining fair and orderly markets by enforcing federal securities laws. This includes overseeing the securities industry, protecting investors, and ensuring that companies provide accurate information through disclosures. The SEC's mission is to promote transparency and prevent fraud in the securities markets, which helps build investor trust and stability in the financial system.

The other options pertain to different regulatory domains. Administering insurance policies is the function of insurance regulatory bodies at the state level rather than the SEC. Regulating insurance premiums also falls under state jurisdiction, where different state departments of insurance evaluate and set rates. Supervising risk assessments typically involves insurance companies and their practices rather than the SEC, which focuses on securities rather than insurance or risk management in that sector.