1. Securities

Securities under the Securities Regulation Code

Under the Securities Regulation Code, the State seeks to establish a socially conscious, free market that regulates itself, protect investors, and ensure full and fair disclosure about securities¹². Under the law, "securities" are shares, participation, or interests in a corporation or in a commercial enterprise or profit-making venture and evidenced by a certificate, contract, or instruments, whether written or electronic in character³.

Statutorily, securities include the following:

• Shares of stocks, bonds, debentures, notes, evidences of indebtedness, and asset-backed securities³;
• Investment contracts, certificates of interest or participation in a profit-sharing agreement, and certificates of deposit for a future subscription³;
• Fractional undivided interests in oil, gas, or other mineral rights³;
• Derivatives like options and warrants³;
• Certificates of assignments, certificates of participation, trust certificates, voting trust certificates, or similar instruments³;
• Proprietary or nonproprietary membership certificates in corporations³; and
• Other instruments as may in the future be determined by the Securities and Exchange Commission³.

An "issuer" is defined as the originator, maker, obligor, or creator of the security³. A "broker" is a person engaged in the business of buying and selling securities for the account of others, while a "dealer" is any person who buys and sells securities for his or her own account in the ordinary course of business³.