About This Chapter
Describing Investment Products & Services - Chapter Summary
As you go through these lessons on describing investment products and services, you can get a richer understanding of key topics, like Regulation D offerings and deceptive devices used by dealers. Our instructors also review what the Securities Exchange Act of 1934 says about prospectus delivery. By the end of the chapter, you could be able to:
- Explain how new issues are brought to market
- Recall components of a financial prospectus
- Detail the purpose of a preliminary official statement
- List notice of sale components for municipal securities
- Outline rules governing intrastate offerings
- Recount the rules that apply to networking arrangements between financial institutions and members
- Discuss rules that apply to firms tape recording registered persons
- Provide examples of manipulative devices by brokers
This chapter on describing investment products and services is informative, concise, and mobile friendly. Our instructors developed engaging lessons to ensure you're able to easily grasp the concepts covered. A self-assessment quiz is available for each lesson, which enables you to identify any areas that require more study time. You can also print the quizzes as offline study worksheets.
1. Financial Prospectus: Definition, Components & Examples
A financial prospectus is a legal document that provides a lot of financial, company, and transaction information for prospective investors to decide whether or not they want to invest.
2. The Process for Bringing New Issues to Market
Corporations at some point want to raise money from public markets. This lesson discusses the process and steps that a company must follow to register and sell a new issuance of stocks or bonds to public investors.
3. What Is a Preliminary Official Statement (POS)?
How can someone decide whether to invest in a government-issued bond? In this lesson, we'll look at official and preliminary official statements, including what they are and how they can attract and inform investors.
4. Delivery of Prospectus: Rules & Requirements
A prospectus must be given to investors prior to investing in many different situations in the investment industry. This lesson discusses the rules pertaining to delivering prospectuses to investors.
5. Notice of Sale for Municipal Securities: Definition & Components
Municipal bond offerings are done by state, city and county governments. A notice of sale must be prepared and submitted containing the details of the issuance. This lesson discusses municipal bonds and the information in the notice of sale.
6. Regulation D Offerings: Definition & Regulations
Securities and Exchange Commission (SEC ) Regulation D is the section of the Securities Act of 1933 that governs raising capital with unregistered (private) securities. In this lesson you will learn the important aspects of Regulation D and how it is used to fund businesses and investments.
7. Intrastate Offerings & Securities Transactions Exempted From Registration
The Securities Act of 1933 protects investors from misleading advertising and requires securities to be registered with the SEC. Intrastate companies are exempt from SEC registration, if regulations are followed.
8. Manipulative & Deceptive Devices by Brokers or Dealers
The Securities Exchange Act of 1934 was enacted primarily to reduce fraud in the securities industry. During this lesson we will review part of the act, which discusses manipulative, deceptive, and fraudulent practices that are prohibited.
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Other chapters within the Series 6 Exam: Study Guide & Practice course
- Financial Advertising & Communications With the Public
- Disclosing Financial Account Types & Restrictions
- Understanding Retirement Plans & Tax Advantaged Accounts
- Obtaining Basic Customer Information & Documentation
- Obtaining Customer Investment Profile Information
- Obtaining Supervisory Approvals for Investment Accounts
- Analyzing Investment Portfolios & Financial Statements
- Types of Underlying Securities
- Understanding Funds, Trusts & Investment Companies
- Understanding Municipal Fund Securities
- Variable Life Insurance & Annuity Contracts
- Tax Treatment of Investment Profiles
- Disclosing Investment Product Information
- Updating Investment Customers & Retaining Customer Records
- Processing & Confirming Financial Transactions
- Resolving Investment Disputes & Customer Complaints