Compare the SEC and FINRA so it is clear who writes rules, who examines firms, and who helps investors use complaint tools.
Stock investors often hear both the SEC and FINRA mentioned in the same conversation, but they do not do the same job. The SEC is the federal regulator that administers and enforces securities laws. FINRA is a self-regulatory organization that oversees broker-dealers under SEC supervision. That distinction matters because exam questions often turn on which body has which authority.
This section separates the roles clearly. The SEC is tied to rulemaking, disclosure, enforcement, and oversight of major market institutions. FINRA is tied more directly to broker-dealer membership, examinations, representative conduct, BrokerCheck, and customer dispute forums. If those roles blur together, investors can easily misunderstand where to look for rules, complaints, and firm background information.