SEC Fact Sheet on Advertising Review

A specialized group within the Division of Investment Management will engage in an integrated review of funds' portfolio securities and investment strategies.

A specialized group within the Division of Investment Management will engage in an integrated review of funds' portfolio securities and investment strategies as reflected in shareholder reports to determine whether they are consistent with statements made in fund marketing materials. The Office of Compliance Inspections and Examinations will conduct a series of special examinations of funds that have used aggressive advertising in their marketing to promote sales of funds' shares.

The goals of this initiative are to evaluate whether:

1. funds are investing in accordance with their stated investment objectives and policies.
2. funds are engaging in strategies or undertaking risks that go beyond representations in prospectuses; and
3. statements and disclosures on Web sites and in marketing materials are misleading or contain material omissions.