LETTER OF COMMENT
A letter sent to a company, from the Securities and Exchange Commission (SEC), before issuing new shares. The letter assists the issuing company to make sure the information in their registration statement or S-1 are clear, accurate, transparent, and free from any irregularity.
Financial details, operations and management history, and any other related facts are the details covered in a company’s registration statement. Also called comment letter, it is usually informal by nature and done in a courteous manner. This spares both the firm and the SEC time and frustration, and guards the investors from any inaccurate or misleading information.
POPULAR TERMS
Maximum Loan-to-Value Ratio
Maximum allowable ratio of a loan’s size to the property’s value that is securing the loan. Lenders measure the risk using loan-to-valu ...
Cash Return on Assets Ratio
Ratio used to differentiate a business’ performance against other industry members. The company’s analysts may use the ratio internally ...
Retention Bonus
A reward given to an employee that serves as an incentive to keep that key employee on the job during a significant business cycle, like a merger o ...
Infrastructure
Basic physical systems of a business or country such as roads, utilities, transportation, communication, sewage, and water and electric systems, am ...
Cost Control
Act of managing and/or reducing business expenditures done by determining the costs and evaluating if such expenses are affordable and reasonable. ...
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SEE FOREX TUTORIAL
Digesting Financial Statements: Long-Lasting Assets
Long-lived assets, also known as non-current assets, is any asset a company expects to keep for at least one year. Such assets are expected to boos ...
An Introduction to Stocks
Imagine this: you are a company owner, you get income but you don’t go to work, you just do what you want and the money keeps coming in. This ...
Introduction to Inflation
I asked my grandparents about the cost of living during World War II. They told me people during that period could buy a house for $5,000, a car fo ...
Introduction to Ethical Investing
Since time immemorial, investors look after better profits and income paying stocks. While many consider themselves as ethical investors, the commo ...
Digesting Financial Statements: Pension Plans
Deducing on the topic we previously discussed, this tutorial now puts the spotlight on the pension fund. It is a distinct long-term obligation for ...
ECONOMIC CALENDAR
| Time | Country | Indices | Period |
|---|---|---|---|
| 05:00 | Credit Card Spending | Mar | |
| 14:30 | Industrial Product Price Index | Mar | |
| 14:30 | New Housing Price Index | Mar | |
| 14:30 | Raw Materials Price Index | Mar | |
| 16:00 | Consumer Confidence | Apr | |
| 02:30 | PMI Manufacturing | Apr | |
| 02:30 | Tertiary Industry Index | Apr | |
| 02:30 | PMI Composite | Apr | |
| 08:00 | Public Sector Net Borrowing | Mar |
