The purpose of the "quiet period" a company must observe from the time it files a registration statement with the SEC until after an IPO is complete is to assure that all investors receive the same information.

Question

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The quiet period is intended to prevent the company and its insiders from releasing new information that might influence the stock's price unfairly, ensuring that all investors have access to the same material information.

The Purpose of the "Quiet Period" a Company Must Observe