Regulatory (Regulated, Controlled) Market

A regulatory market, or regulated market, refers to a financial market that operates under specific rules and oversight from government or regulatory bodies to ensure transparency, fairness, and the protection of investors. These markets follow established regulations, such as those set by securities commissions, to prevent fraud, market manipulation, and other unethical practices. Regulatory markets include stock exchanges, commodities markets, and bond markets, where transactions are closely monitored to maintain market integrity.

Example

The New York Stock Exchange (NYSE) is a regulated market overseen by the U.S. Securities and Exchange Commission (SEC) to ensure transparency and fairness in trading activities.