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 ?
Conversely, the Baker court found the former employer's disclosures to the offices of the Governor and Attorney General exceeded the terms of the consent because the applicant only agreed to the release of information solicited by the state police under a guarantee of confidentiality.(14) Thus, the former employer faces potential liability for these two unsolicited disclosures if they were made maliciously or for an improper purpose.(15)
Seven members who commented on why they supported regulation suggested that regulation be directed based on type of investor, and toward retail funds in particular, or that regulations should stress increased transparency through more disclosure.
Under the proposed regulations, "the proscribed method of delivery of the disclosure document is any method which is agreed on in writing by the franchisor and the prospective franchisee." While these regulations are not final, if adopted, they would allow franchisors great latitude in making electronic disclosures, assuming prospective franchisees provide their consent in writing.
Other Issues -- Auditors should report to the audit committee all critical accounting policies and practices used, all alternative treatments of financial information according to GAAP that have been discussed with management, the ramifications of the use of alternative disclosures and treatments and the preferred treatment.
Advertising disclosures serve an important purpose for industries, by protecting companies and their customers from product misuse.
Similarly, "In December 2001, the five largest accounting firms sent a petition, endorsed by the American Institute of Certified Public Accountants, to the Securities and Exchange Commission urging enhanced disclosures to provide more transparency concerning certain risks that affect public companies" (Carlon et al.
The preparation of these disclosures and the MD&A generally--not to mention the pay ratio disclosures to be reported by calendar-year companies in 2018--is a complex and time-consuming undertaking, with management's disclosure committee playing a key role.
regulation, covered service providers had to provide plan committees-in their role as the responsible plan fiduciary-with disclosures about services, status and compensation.
Through a user name and password, the issuer may create and distribute regulatory disclosures immediately by completing a standard template online in both Arabic and English, and submitting along with the relevant documents in various formats.
Generally Accepted Accounting Principles (GAAP) and International Financial Reporting Standards (IFRS), require each reporting entity to make specific disclosures in notes that accompany the entity's financial statements.
The report, a joint research project published by Financial Executives Research Foundation (FERF) and KPMG LLP, delved into the effect of increased financial disclosures from 2004 to 2010.
In the study, students categorize disclosures associated with "good" teachers as statements that are positively worded and show care or concern.