A prospectus is a selling document as well as a disclosure document.

Question

Quizplus · Accepted Answer

A prospectus is a legal document that discloses important information about a company or investment opportunity to potential investors. It is used both as a selling document, to highlight the benefits of the investment, and as a disclosure document, to provide full and accurate information about the risks and other factors that investors should consider before making a purchase.

A Prospectus Is a Selling Document as Well as a Disclosure