SEC Form 497K1

DEFINITION of 'SEC Form 497K1'

A filing with the Securities and Exchange Commission (SEC), also known as the Profiles for Certain Open-Ended Investment Companies Form, used to file official copies of a "Short-Form Prospectus" for open-ended mutual funds. The information contained on SEC Form 497K1 includes the risks, costs, potential holdings, and redemption procedures for an open-ended mutual fund being sold to the public.

BREAKING DOWN 'SEC Form 497K1'

SEC Form 497K1 is used to file an abbreviated version of a mutual fund prospectus, that is meant to be much easier for investors to review and understand. Prior to the Short Form Prospectus, investors had to search through the much larger full-length prospectus to find the information required to make informed investment choices. In addition to benefiting the consumer, the use of a SEC Form 497K1 dramatically reduces the costs for mutual funds associated with delivering those larger prospectuses to customers.

Related Forms: SEC Forms 497K2, 497K3, N-1

RELATED TERMS
  1. SEC Form S-20

    A filing with the Securities and Exchange Commission (SEC), more ...
  2. Final Prospectus

    1. The final version of a prospectus for a public offering of ...
  3. SEC POS AM Filing

    A filing that is made by companies which have filed for registration ...
  4. SEC Form 15

    A filing with the Securities and Exchange Commission (SEC), also ...
  5. SEC Form 13F

    A filing with the Securities and Exchange Commission (SEC), also ...
  6. SEC Form 24F-2

    A filing with the Securities and Exchange Commission (SEC) that ...
Related Articles
  1. ETFs & Mutual Funds

    Understanding Open-End Funds

    An open-end fund is a type of mutual fund that does not limit the amount of shares it issues, but issues as many shares as investors are willing to buy.
  2. Investing

    Popular Resources for Equity Research and Analysis: Chapter 2: The SEC Website

    Second to the company investor relations sites is the direct SEC website at www.sec.gov. Investors can learn quite a bit about the securities industry from the SEC. The forms page, which details ...
  3. Investing

    How A Company Files With The SEC

    Filing with the SEC is not as complicated as you might thing -- just be meticulous about following the steps.
  4. Markets

    Understanding The Top SEC filing forms

    It's easier than ever to keep track of your SEC filing status online.
  5. Markets

    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.
  6. Financial Advisor

    How To Get A Job At The SEC

    Want to make a good living taking on those renegade trading rascals on Wall Street? Here are some tips to help you get in the door at the SEC.
  7. Markets

    Understanding the SEC

    The SEC's triple mandate of investor protection, maintenance of orderly markets and facilitation of capital formation makes it a vital player in capital markets.
  8. Financial Advisor

    Why Mutual Funds Are Here to Stay (Despite ETFs)

    Despite the rise of ETFs, mutual funds are not headed for extinction. Here's why they are here to stay.
  9. ETFs & Mutual Funds

    Digging Deeper: The Mutual Fund Prospectus

    The legal jargon of this document can be daunting. Find out how to get to the important stuff.
  10. Retirement

    A Brief History Of The Mutual Fund

    This popular investment vehicle has seen its share of ups and downs, successes and scandals. Read all about it!
RELATED FAQS
  1. 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 >>
  2. How often do mutual funds report their holdings?

    Learn how mutual funds are required by the Securities and Exchange Commission to disclose their portfolio holdings on a quarterly ... Read Answer >>
  3. Can an open-ended fund's price appreciate significantly?

    Theoretically, open-end mutual fund prices can experience a significant increase in price. However, three factors need to ... Read Answer >>
  4. What is the most important section in an investment company's prospectus?

    Learn about the various elements included in an investment company's prospectus and which ones are most important for investors ... Read Answer >>
  5. Should mutual funds be subject to more regulation?

    Understand whether mutual funds need stricter regulation. Learn what types of current and future regulations have been put ... Read Answer >>
  6. Which of the following terms are associated with the purchase/redemption of open-end ...

    The correct answer is a. Forward pricing is the SEC Rule that requires all transactions in open-end investment company shares ... Read Answer >>
Hot Definitions
  1. Sell-Off

    The rapid selling of securities, such as stocks, bonds and commodities. The increase in supply leads to a decline in the ...
  2. Brazil, Russia, India And China - BRIC

    An acronym for the economies of Brazil, Russia, India and China combined. It has been speculated that by 2050 these four ...
  3. Brexit

    The Brexit, an abbreviation of "British exit" that mirrors the term Grexit, refers to the possibility of Britain's withdrawal ...
  4. Underweight

    1. A situation where a portfolio does not hold a sufficient amount of a particular security when compared to the security's ...
  5. Russell 3000 Index

    A market capitalization weighted equity index maintained by the Russell Investment Group that seeks to be a benchmark of ...
  6. Enterprise Value (EV)

    A measure of a company's value, often used as an alternative to straightforward market capitalization. Enterprise value is ...
Trading Center