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SEC Filings | Importance | Top 7 Types of SEC Filings - YouTube
Channel: WallStreetMojo
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hello everyone hi welcome to the channel
of WallStreetmojo friends today we
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are going to learn or tutorial to toll on SEC
filings let's get into the nitty-gritty
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and understand what exactly are we
talking about you see there are some
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types and forms all analysts must know
see us is one of the most developed
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financial markets all over the world and
one of the primary reason for this is
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the kind of the transparency it is it
has provided to the investors now the
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government provides investors a clear view
of the company's performance history eye
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into the future current progress by
means of defining reg filings so this
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filings are provided by the companies -
SEC as simple as that
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and this filings includes like
registration statements then you have
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formal periodic reports those are
basically formal reports or formal
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periodic reports and other forms see in
this particular tutorial we are going to
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explore different types of SEC filings
and the kind of information each of them
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provide so let's get into the
nitty-gritty of the same now first and
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the foremost question that we have is
why SEC filing is important why SEC this
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right for you
filings is important this is the one big
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question that I have and we'll be
discussing few points over here see it is
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imperative to understand very important
to understand that you know SEC is a
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regulatory watch-dog you know which is
created for the investors benefit see it
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collects all the documents and which
details out the financial and the
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operational health of the
companies which have stock owned and
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traded by the public the SEC checks the
quality of the information provided and
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has rights to prop the companies in case
of certain information is not clearly
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provided investors use these filings to
make assessment of the company's
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performances so this is the prime reason
well that is why the reported
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information becomes really very
important and in the next sections that
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we are going to will be discussing
different
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types of filings let's learn each of them
one by one as you can see over in the
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picture we have form number 10k from 10
Q and we have 8 K 10 K is basically
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annual presentation the annual financial
statements the performance and the
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results related to the same 10 Q as the
Q specify its quarterly I mean it
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doesn't mean this K is for annually and
Q's for quarterly it's just the name
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they have given 8 K is SEC a requirement
to communicate any material information
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that may be useful to the investor so
those are the different types of the
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filings and so the most important ones
have been discussed here like you know
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the registration statements 10k reports
then Q reports 8 k reports then we have
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schedule 13d proxy statements form three
four and five and so on and so forth
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first let's discuss what is registration
statements that is the first and the
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foremost thing let's learn see offering
registration file under Securities
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Act 1993 basically it says that you know
this statement is used to register
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securities before they are offered to
the larger audience like investors so it
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has basically provided into two parts
one which is preliminary prospectus and
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second one contains certain information
which is not required to be filed with
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the prospectus so the statement very in
the purpose and the content depending
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upon the kind of the organization which
is issuing stock so in case the
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corporate initiate an offering statement
it is evaluated by SEC so if SEC require
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any changes in the document the same is
informed with the corporate post that
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you know the document is made available
to the investor so that the sale of the
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security can be initiated let me show
you something this is basically the form
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number S-1 of boxing in United States you
that is Securities Exchange Commission
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where it has been filed the front page
over here you know it contains the name
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of the company that is the Box Inc over
here along with the key management
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information like the CEO the COO that is CEO COO and the CFO details
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let me show you another form that is S-1
filing off or boxing now this is
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basically another in a very important
aspect of s1 filing is that you know
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they provide details of how the proceeds
will be used this is very important for
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the investors because you know as you
can see below this is important for the
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following reason like you know box plans
to use the proceeds of the corporate
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purpose including the for the working
capital details you know it is given for
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the working capital operating expenses
and for capital expenditures now let's
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see some more details in in regards to
the same now see there are many other
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important informations in s-1 filing you
know like the discussion on the total
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dilution you can say or management
discussion and analyst of the financial
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conditions and results descriptions of
the shares and capital stock and whether
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these shares are eligible for the future
sale or not in fact you know I feel all
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the sections are very important see one
section you must read through multiple
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times is like you know the risk factors
it's really very important and you know
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they provide a lot of detail about the
business and its uncertainties
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associated with the business if you want
to learn how to analyze registration s-1
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in detail you know to have a look on to
other a post that is given in this
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particular site trading registration
that is our 10k form is the next thing
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that we need to discuss that is over
here path to 10k so in case of 10k the
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10k report is the annual filing which a
company needs to file within 90 days
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very important it needs to be filed
within 90 days of the end of the fiscal
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year it provides investors and
stakeholders a complete comprehensive
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analyst of the company the disclosures
in 10k are made under 14 different
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reporting items in four different parts
each of these parts you know are are
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there and you know you can discuss in
detail see part one I will just take you
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one or two like you know the part one is
like
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no there is an item of the business
section of the company where details
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like you know the principle product and
services offered markets distribution
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method competitive factors of ability of
the raw material impact of the
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compliance franchisee patents and so on
and so forth
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the item to basically you know contains
you know the management discussion or
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analysis which we all know as MDNA and see MDNA is important for any company
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you know it includes the discussion the
operational performing during the
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quarter you know in the previous
quarters and so on and so forth now
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there is part two where other things are
detailed doubt are like you know there is
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item number three which says some of the
details regarding the legal proceedings
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that is the section of the company it
provides a brief descriptions of the
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material legal proceedings which are
pending there's item number for that is
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basically the changes in the security
okay of the company it reports any
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material changes in the right of the
holders across different classes of the
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registered security then we have item
number five which which says details
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regarding default upon senior senior
securities so from the credit
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perspective you can say this is one of
the most important section as it
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highlights all the cases in the material
defaults then we have item number six
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that is you know in this section which
we disclose that all the matters went
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for vote of security holders now this
thing basically provides all information
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related to the meeting of the
shareholders then we have the seventh
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point that is this section which
discloses other materially important
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events like it contains all the info
which are materially important but I'm
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not finding any other head for reporting
and finally item number eight which is
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the section that contains information
related to the exhibits okay and and
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then corporate changes those are the
details that are mentioned in the item
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number eight which happens
which happened and are reported during
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the quarter the next thing that we need
to understand this was we learned 10 K
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the next thing that we are going to
learn is the 8k report see 8k filing is
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huge used basically to regularly inform
investors about happening in the
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business
most of these developments which happen
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in the business are generally described
in you can say 10k or basically then 10 Q
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report okay
now you know in case some of the
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developments don't make it those filings
in time so then they are released by
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means of 8k right and it is important to
note that you know understand that this
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release is unscheduled and can happen
anytime during the course of the
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business now there are you know some of
the events which which can lead to the
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filings of the 8k you know that are like
you know first is bankruptcy information
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material impairment performed by the
company completion of mergers and
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acquisition disposition of various
assets of the company departure or
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appointments of executives in the
company changes in the fiscal years and
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so on and so forth the next thing that
we need to discuss is the fourth point
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that is the schedule let me just write
for you schedule 13 D now what is this
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see the filing is like an acquisition
statement you know highlighting the
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details of the event this filing is
required to be filed by these equity
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owners who have more than greater than
just right for you greater than 5% of
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equity shares within 10 days of the
acquisition event so there's disclosure
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in 13 d are made under 7 different
reporting items you know then we have
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the next is the proxy statements we are
discussing each and every thing that is
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available in our pocket list see proxy
statement is basically an official
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notification to the designated class of
the shareholders stating what all
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matters will be coming to vote for
shareholders this needs to be filed
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before the solicitation now this needs
to be filled out before these solids
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station of the shareholders vote for any
matters ranging from elections of
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directors to the approval of different
kind of the corporate actions the next
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thing that we need to discuss is the
seventh point that is there are things
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called form number 3,4 and 5
now see in this forms basically the
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investors they tend to look out for how
the ownership and the purchase of the
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shares are taking place within the
executives of the company and each of
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these forms has specific functions which
is like you know in form number 3
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you know in the initial finding filings
which it tells us about the ownership
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amounts in this particular case let me
show you that this is the details of
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form number 3 which gives the
United States Securities Exchange
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Commission and you know initially
statement of beneficial ownership of
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securities and some of the details that
have been mentioned let me just go down
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and show you the common stock details
the common stock details over here and
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the CDs be convertible preferences
detailed and so on and so forth now
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there is another call form number 4
you know this form is basically used to
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identify the changes in the ownership
structure in the company so a form 4
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must be filed by 10 day of the
following month of the transaction then
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there is another form that is called as
form 5 before that let me show you
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the form number 4 and form number
5 how does they look exactly but this
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goes about your with your form
number 4 and there are details of the
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name of the address of the reporting
person amount of the Securities acquired
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and disposed over here all the details
have been mentioned as you can see the
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amount of the security been officially
owned following reports transactions and
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so on and so forth okay now there is
form number 5 which is basically the
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annual summary of the form for annual
summary of form 4 and includes all
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the information which has been disclosed
by the company using form four and it
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helps investors get in one snapshot a
couch of what all has been trend in the
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ownership during the particular you know
this is form number 5 as you can see
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the annual disclosure of the stocks
acquired and disposed of
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details so finally we have discussed all
the major filings which are filed by the
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company with the SEC however you know
that is question investors that the list
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is highly representative but not
exhaustive there are some filings which
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are filed in special cases and are
important to the particular even but if
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an investor's intend to understand
company's information it involves taking
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an extra step and learning the art of
reading between the lines so here are
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the cases we know some of the major red
flags are the part of the footnotes of
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the filings the SEC filings is a
regulatory mechanism to keep information
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symmetry between the stakeholders in the
investor community at large and this
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filings help investors take informed
decisions when they intend to buy or
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sell securities so this filings provide
ample amount of information about the
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company it can help investors to learn
about the industry in which companies
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companies operating operating strategies
adopted by the company in the market and
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what has been the financial achievement
of the company so all this set of
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information together intends to provide
the public at large
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information which is highly critical
while making the investment decision
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this exhaustive list of SEC forms can be
found you know in the links below or
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basically in in the article itself and
you can go ahead and do some readings
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and learn about the companies and
analyze the financial statement like pro
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