Maloney Act investment & finance definition
A
law that provides for the regulation of the over-the-counter securities markets
through national associations that are registered with the Securities and
Exchange Commission (SEC). The National Association of Securities Dealers Inc.
(NASD) is the only association that has
ever registered under the act. It was passed in 1938 and added onto the
Securities Exchange Act of 1934.
See Maloney Act in Wall Street Words
A 1935 act that provides for the self-regulation of security brokers and dealers in the over-the-counter market. The only organization currently registered under the Act is the National Association of Securities Dealers, with approximately 5,000 members. As an incentive to join, members receive discounts on securities traded among themselves.