Understanding SEC Rule 144A: Impact on Investors

Reported 1 day ago

SEC Rule 144A allows qualified institutional buyers (QIBs) to trade restricted securities without a public offering, enhancing liquidity in the private market. While beneficial for large investors and issuers by making capital access easier, it restricts retail investors and poses risks due to reduced transparency and limited trading activity, potentially complicating market growth.

Source: YAHOO

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