A:

A. The date a security's registration statement is granted an effective date lasting for one year.

B. The date the first transaction of an approved security takes place.

C. The date an issuer and underwriter agree to bring a security to market.

D. The date a security is due for re-registration, one year after the initial registration.






Correct answer: A

The effective date is defined as the actual date a security's registration is granted an effective date, lasting for one year after such. Note that on the cover of all prospectuses, it generally states that "these securities have not been approved or disapproved".



RELATED FAQS

  1. What are the requirements for being a Public Limited Company?

    Discover the various different requirements that a company must meet in order to be recognized and traded as a public limited ...
  2. How do I place an order to buy or sell shares?

    Read a brief overview of how to open a brokerage account, how to buy and sell stock, and the different kinds of trade orders ...
  3. Is there a difference between financial spread betting and arbitrage?

    Find out more about financial spread betting, arbitrage and the differences between financial spread betting and the arbitrage ...
  4. What is the difference between the return on total assets and an interest rate?

    Learn the difference between the return on total assets and an interest rate; the former is a profitability ratio, and the ...
RELATED TERMS
  1. Marginable

    Definition of "marginable."
  2. Securities-Based Lending

    The practice of making loans using securities as collateral. ...
  3. Valium Picnic

    A market holiday or a slow trading day.
  4. Dividend

    A distribution of a portion of a company's earnings, decided ...
  5. Einhorn Effect

    The sharp drop in a publicly traded company’s share price that ...
  6. Institutional Ownership

    The amount of a company’s available stock owned by mutual or ...

You May Also Like

Related Articles
  1. Active Trading Fundamentals

    Is there a difference between financial ...

  2. Fundamental Analysis

    What does a high turnover ratio signify ...

  3. Options & Futures

    How does a forward contract differ from ...

  4. Investing Basics

    What is the difference between passive ...

  5. Stock Analysis

    Here's Why Analysts Bullish On Skyworks ...

Trading Center
×

You are using adblocking software

Want access to all of Investopedia? Add us to your “whitelist”
so you'll never miss a feature!