Prospectus

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A long document describing a deal which no-one reads, but which lead managers are nonetheless convinced presents them with risk of huge liability. Much of it accordingly comprises disclaimers, and there is a specific legal department employee — a red-herring ninja — who can make an entire living in the cool, nourishing foliage of such a document.

Also called an “information memorandum” or an “offering circular”. A draft version — sometimes released for pre-marketing purposes — is called a “red herring”, on account of some red text written vertically down the margin.

See also

• Inhouse legal team of the year