The __________ is the private offering counterpart to the prospectus.

Question

Quizplus · Accepted Answer

The private-placement memorandum (PPM) is the private offering counterpart to the prospectus. A PPM is a legal document provided to prospective investors when selling stock or another security in a business. It outlines details about the investment opportunity to help them decide whether to invest. A red-herring prospectus is a preliminary prospectus filed with the SEC, while a restricted sale refers to the sale of securities that are subject to certain resale restrictions. The private registration prospectus is not a commonly used term in the securities industry.

The __________ Is the Private Offering Counterpart to the Prospectus