A bill to clarify the jurisdiction of the Securities and Exchange Commission and the definition of security, and for other purposes.

(Measure passed House, amended)

Amends the Securities Act of 1933, the Securities Investor Protection Act, the Securities Exchange Act of 1934, the Investment Company Act of 1940 and the Investment Advisers Act of 1940 to include within the definition of "securities" for the purposes of such Acts any put, call, straddle, option, or privilege on any security, certificate of deposit, or group or index of securities (including any interest therein or based on the value thereof), or any put, call, straddle, option, or privilege entered into on a national securities exchange relating to foreign currency.

Amends the Securities Exchange Act of 1934 to grant the Securities and Exchange Commission the authority to regulate the trading of such securities, but not an option on a contract for future delivery.

Prohibits any State law prohibiting or regulating wagering or gaming contracts or the operation of "bucket shops" or similar activities from invalidating any put, call, straddle, option or privilege or other security or other activity related to the offer, purchase, sale, exercise, settlement or closeout of any such instrument if the instrument is approved by the Securities and Exchange Commission for trading under the rules of a securities self-regulatory organization.