Disclosure


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Disclosure

A company's release of all information pertaining to the company's business activity, regardless of how that information may influence investors.

Disclosure

The voluntary or required release of information relevant to a security, company, fund, or anything else. In order to be listed on an exchange, a company must provide disclosure on itself by registering with the SEC and abiding by regulations that govern what information about itself that the company releases. Disclosure exists to prevent price manipulation and anything else that would disrupt the efficiency of trade. See also: Transparency.

disclosure

The submission of facts and details concerning a situation or business operation. In general, security exchanges and the SEC require firms to disclose to the investment community the facts concerning issues that will affect the firms' stock prices. Disclosure is also required when firms file for public offerings. See also full disclosure.

Disclosure.

A disclosure document explains how a financial product or offering works. It also details the terms to which you must agree in order to buy it or use it, and, in some cases, the risks you assume in making such a purchase.

For example, publicly traded companies must provide all available information that might influence your decision to invest in the stocks or bonds they issue. Mutual fund companies are required to disclose the risks and costs associated with buying shares in the fund.

Government regulatory agencies, such as the Securities and Exchange Commission (SEC), self-regulating organizations, state securities regulators, and NASD require such disclosures.

Similarly, federal and local governments require lenders to explain the costs of credit, and banks to explain the costs of opening and maintaining an account.

Despite the consumer benefits, disclosure information isn't always easily accessible. It may be expressed in confusing language, printed in tiny type, or so extensive that consumers choose to ignore it.

References in periodicals archive ?
The study also seeks to investigate the significant difference in terms of risk management disclosure between the group of firms in the Nigerian financial institution.
The fundamental challenge for audit committees is to help ensure that the company has the necessary procedures so that, as noted by the SEC, "important information flows to the appropriate collection and disclosure points in a timely manner," and the company's principal executives can provide accurate and complete information to security holders.
According to an executive with ICBC, the disclosure system went alive last July and has obviously improved the disclosure of wealth management product information from various aspects including disclosure frequency, content and approaches.
Under the Section 404(a)5 participant disclosure regulation, plan committees-serving as the ERISA plan administrator-were required to provide participants with detailed disclosures about plan features, investments and costs.
Over the last few weeks, DFM has successfully hosted 9 training sessions to educate 68 disclosure employees representing 43 UAE listed companies on the effective operation of this solution.
As standard setters, regulators and others seem to continuously call for and deliver more regulations, more standards, more transparency and more disclosure, financial executives are having difficulty keeping up with the volumes of materials that are expected from them.
Cozby (1973) points out three major parameters of the self-disclosure: (a) the quantity of the disclosed information, (b) the degree of intimacy of the disclosed information, (c) the time which is necessary for the disclosure of desired information (quoted in Watkins, 1990, p.478).
This tutor disclosure also illustrates that the tutee must put forth that extra effort in order to achieve good results.
As to any state disclosure requirements, these may be preempted by the federal law, E-Sign, as explained in other articles which previously appeared in Franchising World.
The FTC report, Improving Consumer Mortgage Disclosures: An Empirical Assessment of Current and Prototype Disclosure Forms, noted that despite a long history of mortgage cost disclosure requirements and many legislative and regulatory proposals, little empirical evidence exists to document the effect of the current disclosures on consumer understanding of mortgage costs, consumer mortgage shopping or consumer mortgage choice.
If CPAs anticipate that their external service provider will disclose confidential client information to persons or entities outside the U.S., will the fact of anticipated disclosure require specific informed written consent of the client?