Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 71% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money.
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 71% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money.

A legal document disclosed by a company (or ‘entity’) that wants to raise capital from the public. It discloses the position of the company, its outlook for the future, and explains the reason why it’s seeking to raise capital. 

Prospectus definition


A legal document disclosed by a company (or ‘entity’) that wants to raise capital from the public. It discloses the position of the company, its outlook for the future, and explains the reason why it’s seeking to raise capital. These might include:

  • An initial public offering (IPO)
  • An issue of corporate bonds
  • A managed investment fund trying to attract investors

A prospectus contains facts and reports that a potential investor should know before committing capital. Information in a prospectus might include:

  • An overview of the entity
  • Historical financial reports
  • Relevant market data

The information may be reviewed and altered up until the offering is finalised. 

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