Disclosure Requirements

Access to information is incredibly important, but how does the SEC ensure all companies share necessary info? 🤔

Access to information is incredibly important, but how does the SEC ensure all companies share necessary info? 🤔

Time to learn the ins and outs of disclosure requirements 🚀

💡 Disclosure requirements = information that companies are required to provide.

This info helps investors make informed decisions 🤑

Companies must disclose information on their financial performance, risk factors, and management structure. 💰

This helps investors understand the risk associated with a particular investment and how the company is run. 🦺

Financial performance is often shared through income statements, balance sheets, and cash flow statements. 💵

We have a journey on Earnings Reports that walks you through each of these documents! 📝

And you can find the documents of any public company by searching “Company Name: Investor Relations” or “Company Name: Earnings Report” 🥳

Companies must also provide information on “corporate governance” which is who the leaders are, what their roles are, and how their salary is decided 🤝

Lastly, companies must provide information on their business strategies, such as their plans for growth, their competitive advantages, and their key risks. 📈

Knowing this information will help investors understand how the company plans to achieve its goals. 🏆

By understanding the info companies publish, investors can make more informed decisions and feel confident in their investments. 🤩

Test your knowledge

Which of the following must public companies share:

Choose an option

Corporate governance shows. . .

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Documents of any public company can be found by googling. . .

Choose an option

What's next?

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