What is a companys prospectus?
A prospectus is a printed summary of information that a company must file with the Securities and Exchange Commission(SEC) in conjunction with a public offering of securities, including mutual funds. It contains information about the company and its business that helps investors to decide whether to invest. SEC regulations determine what must be included in the prospectus. It typically contains information about the company’s products, services, management and financial history. It must also discuss the risks involved. If the security is a new mutual fund, the company will discuss the types of investments that the fund will make. The SEC does not endorse the security nor the information presented in the prospectus. Like a blueprint, the prospectus tells you everything about the fund, such as the investment objective(s), risk considerations, the investment manager, the portfolio manager, securities that the fund can purchase, investment restrictions, sales charges, management fees, expe
