The materiality of a misstatement or omission under Rule 10b-5 is judged at the time:

Question

Quizplus · Accepted Answer

The materiality of a misstatement or omission is judged at the time the statement is made. This means that the information provided in any statements that may be considered fraudulent or misleading must be evaluated as of the time the statement was made, rather than at the time of the stock purchase, injury, or lawsuit. It is important to evaluate materiality at the time the statement is made because this is the point at which investors will be making decisions based on the information provided.

The Materiality of a Misstatement or Omission Under Rule 10b-5