SIE Exam Question 566: Answer and Explanation

Question: 566

Which of the following is an advertisement used by a registered investment company that advises readers to obtain a full prospectus? It is not permitted to include an application to invest, and it must contain specific caveats pursuant to SEC Rule 482.

• A. Omitting prospectus
• B. Preliminary prospectus
• C. Shelf registration
• D. Tombstone ad

Correct Answer: A

Explanation:

An omitting prospectus is an advertisement used by a registered investment company that advises readers to obtain a full prospectus. It is not permitted to include an application to invest, and it must contain specific caveats pursuant to SEC Rule 482.