In Maryland, investors have rights and protections under numerous laws and regulations including:
The Maryland Securities Act, also known as a "Blue Sky Law," provides protections to investors and regulates the sale of securities in Maryland. The law is administered by the Maryland Securities Division, which is part of the Maryland Office of the Attorney General.
The Maryland Securities Act requires that all securities offered for sale in Maryland be registered with the Securities Division, unless the securities or transactions are exempt. Exempt securities include:
Securities issued by the United States or the state of Maryland
Securities issued by certain banks and other financial institutions
Securities issued by certain non-profit organizations
Securities offered in certain private transactions
The Maryland Securities Act also requires that all broker-dealers, agents, and investment advisers who offer or sell securities in Maryland be registered with the Securities Division.
The Maryland Securities Act is designed to protect investors from fraud and to ensure that investors have access to accurate information about the securities they are considering purchasing.
If you are considering investing in securities in Maryland, it is important to understand the Maryland Securities Act. You can learn more about the law by visiting the Maryland Securities Division website or by contacting the Division.
Here are some tips for investors who are considering investing in securities in Maryland:
Make sure the broker-dealer and investment adviser are registered with the Maryland Securities Division. You can check the Division's website to see if a broker-dealer or investment adviser is registered.
Make sure the securities are registered with the Maryland Securities Division. You can check the Division's website to see if a security is registered.
Get a copy of the prospectus for the security before you invest. The prospectus is a document that contains important information about the security, such as the risks involved in the investment.
Ask questions and do your research before you invest. Don't be afraid to ask your broker-dealer or investment adviser questions about the security you are considering investing in. You should also do your own research to learn more about the security and the company that issued it.
If you have any questions about the Maryland Securities Act or about investing in securities in Maryland, you can contact our law firm to discuss.
In addition to Maryland Securities Act, the following federal laws apply to Maryland investors: