A prospectus must be issued whenever a new offering of securities is made to the public.

Question

Quizplus · Accepted Answer

A prospectus is a document that contains detailed information about a new offering of securities, such as stocks, bonds, or mutual funds. It must be provided to potential investors before they make a decision to invest. This is a legal requirement in most jurisdictions around the world to protect investors and ensure transparency in the securities markets. Therefore, a prospectus must be issued whenever a new offering of securities is made to the public.

A Prospectus Must Be Issued Whenever a New Offering of Securities