Statement of Additional Information - SAI

DEFINITION of 'Statement of Additional Information - SAI'

A supplementary document to a mutual fund's prospectus that contains additional information about the fund and includes further disclosure regarding its operations. Also, known as "Part B" of the fund's registration statement.

BREAKING DOWN 'Statement of Additional Information - SAI'

Information contained in the SAI conveys information about a mutual fund that is not necessarily needed by an investor to make an informed investment decision since the prospectus usually provides all of the information needed, in abbreviated form. However, some investors find the SAI useful and although fund companies are not required to provide it, they must give it to investors upon request and without charge.

RELATED TERMS
  1. Final Prospectus

    1. The final version of a prospectus for a public offering of ...
  2. Single-Country Fund

    A mutual fund that restricts its investment to the assets of ...
  3. SEC Form 424A

    The prospectus form that a company must file if it has made significant ...
  4. Annual Report

    1. An annual publication that public corporations must provide ...
  5. Short Form Prospectus Distribution ...

    A system that allows firms making an issue to produce a short ...
  6. Fund Of Funds

    A mutual fund that invests in other mutual funds. This method ...
Related Articles
  1. Mutual Funds & ETFs

    Digging Deeper: The Mutual Fund Prospectus

    The legal jargon of this document can be daunting. Find out how to get to the important stuff.
  2. Mutual Funds & ETFs

    A Mutual Funds Guide for Young Investors

    Learn how mutual funds work, why they are so popular and how younger investors can get started by putting mutual funds in their IRAs or 401(k)s.
  3. Retirement

    Retirement Plan Documentation and Other Sources

    By Richard Loth (Contact | Biography)Mutual fund companies and retirement plan providers generate a huge amount of fund literature. While marginally useful, this material cannot come close to ...
  4. Financial Advisors

    Fund Boards: What They Do and Why You Should Care

    Fund boards oversee management and operations of the fund on behalf of shareholders. Make sure you've got a board that will look out for you.
  5. Investing

    How to Rate Your Mutual Fund Manager

    What to really look for when you're deciding on a mutual fund.
  6. Products and Investments

    The Best Free Mutual Fund Research Providers

    There is no lack of information for advisors on mutual funds. Getting the right sources (at the right price) can be as easy as a few clicks away.
  7. Mutual Funds & ETFs

    Mutual Funds: Management Fees Vs. MER

    Having a clear understanding of the fees charged by a mutual fund is a significant component to making an informed investment decision. Often the management fee is used interchangeably with the ...
  8. Career Education & Resources

    This Is How Much Mutual Fund Managers Make

    Learn about the high-paying salaries of mutual fund managers and the low level of transparency in income reporting by mutual fund companies.
  9. Investing

    An Insight on the Prospectus of Corporate Bonds

    Making a well-informed decision with respect to buying a corporate bond involves reading the significant facts and details of the prospectus document.
  10. Mutual Funds & ETFs

    5 Secrets You Didn’t Know About Mutual Funds

    Learn five of the "secrets" about mutual funds that can have a significant impact on mutual fund choices and investor profitability.
RELATED FAQS
  1. What information does the SEC require in an investment company's prospectus?

    Understand the lengthy list of required information that investment companies such as mutual funds must include in a prospectus ... Read Answer >>
  2. How can I get a mutual fund prospectus?

    Read and understand the prospectus before investing in a mutual fund. You can obtain a copy from the fund company, your financial ... Read Answer >>
  3. How do mutual fund managers make money?

    Learn about the compensation structure for fund managers and how investors can obtain information on managers' base salaries ... Read Answer >>
  4. What is the difference between a prospectus and summary prospectus?

    Learn about the differences between the summary prospectus and statutory, or full, prospectus, and discover what mutual fund ... Read Answer >>
  5. What does a low information ratio tell an investor about a mutual fund?

    Understand what the information ratio is used to measure. Learn how an investor uses the information ratio to make investment ... Read Answer >>
  6. How do I calculate the loan-to-value ratio using Excel?

    Learn what a mutual fund and a money market fund are, and understand the differences between each and how they serve various ... Read Answer >>
Hot Definitions
  1. Over-The-Counter - OTC

    Over-The-Counter (or OTC) is a security traded in some context other than on a formal exchange such as the NYSE, TSX, AMEX, ...
  2. Quarter - Q1, Q2, Q3, Q4

    A three-month period on a financial calendar that acts as a basis for the reporting of earnings and the paying of dividends.
  3. Weighted Average Cost Of Capital - WACC

    Weighted average cost of capital (WACC) is a calculation of a firm's cost of capital in which each category of capital is ...
  4. Basis Point (BPS)

    A unit that is equal to 1/100th of 1%, and is used to denote the change in a financial instrument. The basis point is commonly ...
  5. Sharing Economy

    An economic model in which individuals are able to borrow or rent assets owned by someone else.
  6. Unlevered Beta

    A type of metric that compares the risk of an unlevered company to the risk of the market. The unlevered beta is the beta ...
Trading Center