Uniform Securities Act

DEFINITION of 'Uniform Securities Act'

An act created as a starting point for state-level securities regulation. The purpose of the Uniform Securities Act is to deal with securities fraud at the state level and to assist the SEC in enforcement and regulation.

BREAKING DOWN 'Uniform Securities Act'

Because not all investments are covered federally and not all investment dealers are registered at the federal level, the SEC cannot protect all investors and pursue all security violations. This creates the need for state-level regulations like the Uniform Securities Act to further protect investors. Each state has its own state security laws known as the Blue Sky Laws.