DEFINITION of 'SEC Form N-CSR'

SEC Form N-CSR is a form that a registered management investment company completes and files with the Securities and Exchange Commission (SEC), following the transmission of annual and semiannual reports to stockholders. The company must file this form within 10 days of sending such reports to shareholders.

BREAKING DOWN 'SEC Form N-CSR'

Section 30 of the Investment Company Act of 1940 and Sections 13 and 15(d) of the Securities Exchange Act of 1934 cover the filing requirements for Form N-CSR. (These are the sections that require investment companies and trusts to file semiannual and annual reports with the SEC and shareholders.)

Companies must file Form N-CSR electronically unless it files for a hardship exemption. Companies must also sign forms and include additional information as needed, including (but not limited to):

  • A copy of the report to stockholders
  • A copy of the firm's code of ethics
  • The name of the financial expert of the firm's audit committee
  • The disclosure of principal accountant fees and services for the previous two fiscal years
  • The disclosure of listed registrants or reason for exemption from the audit committee
  • The firm's security holdings
  • The disclosure of proxy voting policies

According to the SEC, this form is meant as a guide in preparing a larger report (not simply a blank form to be filled in). In addition, the form’s general instructions should not be filed with the report.

SEC Form N-CSR and Annual and Semi-Annual Reports

Annual and semiannual reports associated with SEC Form N-CSR include the 10-K and 10-Q, respectively. The 10-K is a comprehensive summary of a company's performance that typically contains more detail than a regular annual report. The 10-K has a particular focus on financial performance and risks (what an investor would want to know prior to buying or selling shares of stock in the corporation or investing in the firm’s corporate bonds).

The 10-K includes five distinct sections:

  • Business provides an overview of the company’s main operations, including its products and services and how it generates revenues.
  • Risk Factors outlines any and all risks that the company faces or could face in the future, typically listed in order of importance.
  • Selected Financial Data details specific financial information about the company over the last five years.
  • Management’s Discussion and Analysis of Financial Condition and Results of Operations, known as MD&A, gives the company an opportunity to explain its business results from the previous fiscal year.
  • Financial Statements and Supplementary Data includes the company’s audited financial statements, including the income statement, balance sheets and statement of cash flows. This also includes a letter from the company’s independent auditor, certifying the scope of their review.
  • In contrast, while a 10-Q includes much of the same information as a 10-K, this report is filed quarterly.

There are two parts to a 10-Q filing. The first part contains relevant financial information for the period, including condensed financial statements, MD&A, disclosures regarding market risk, and internal controls. The second part contains any legal proceedings, unregistered sales of equity securities, the use of proceeds from the sale of unregistered sales of equity, and defaults upon senior securities. The company also details any other information, including the use of exhibits, in this section.

RELATED TERMS
  1. SEC Form NSAR-AT

    SEC Form NSAR-AT is a semi-annual filing with the SEC that registered ...
  2. Form 4

    Form 4 is a document that must be filed with the Securities and ...
  3. Form 144

    Form 144 is filed with the Securities and Exchange Commission ...
  4. SEC Form 8-K15D5

    SEC Form 8-K15D5 is for an initial filing for the notification ...
  5. SEC Form S-3

    The SEC form S-3 is a simplified security registration form to ...
  6. SEC Form F-N

    SEC Form F-N is a filing required of foreign banks, insurers, ...
Related Articles
  1. Taxes

    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.
  2. Investing

    SEC Filings: Forms You Need To Know

    The forms companies are required to file provide a clear view of their histories and progress.
  3. Taxes

    Late with Your Taxes? Grab IRS Form 4868

    Fill out this form to get a few more months to file your tax return. But remember, April 15 (17, in 2018) is still the payment due date if you owe taxes.
  4. Taxes

    How to File a Tax Extension

    Learn the process you need to follow to get an extra six months to file your tax return.
  5. Taxes

    The Purpose Of 1099 Forms

    The need for 1099 forms and why you must track the income reported on them. If you don't, the IRS will find it anyway and go after you – a costly mistake.
  6. Taxes

    Partnership Tax Filing Deadline is Now March 15th

    The deadline is now a month earlier than last year, but you can still file for an extension.
  7. Taxes

    Tax Tips For First-Time Filers

    Here is a quick rundown on what you need to know if you're filing your taxes for the first time.
  8. Taxes

    How To File A Canadian Tax Return

    The process for filing a Canadian tax return is easy and streamlined. Here is the information you need to know before filing.
  9. Personal Finance

    Newlyweds? Tips For Filing Your Tax Return

    For many couples, it pays to file for taxes together. But what are some of the obstacles you should watch out for?
Hot Definitions
  1. Diversification

    Diversification is the strategy of investing in a variety of securities in order to lower the risk involved with putting ...
  2. Intrinsic Value

    Intrinsic value is the perceived or calculated value of a company, including tangible and intangible factors, and may differ ...
  3. Current Assets

    Current assets is a balance sheet item that represents the value of all assets that can reasonably expected to be converted ...
  4. Volatility

    Volatility measures how much the price of a security, derivative, or index fluctuates.
  5. Money Market

    The money market is a segment of the financial market in which financial instruments with high liquidity and very short maturities ...
  6. Cost of Debt

    Cost of debt is the effective rate that a company pays on its current debt as part of its capital structure.
Trading Center