If you are a beginner at investing, you may be wondering, what is a prospectus? To answer the question, a prospectus is a formal document that a company issues while issuing investment securities to the public. 

It contains details about investments like stocks, bonds and mutual funds. It also includes information like performance, associated fees and charges, objectives, distribution policy, and investment management. Prospective investors can review the prospectus before investing to ensure they make an informed decision.

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