In United States securities law, the quiet period (or waiting period) has "historically, a quiet period of time extended from the time a company files a registration statement with the SEC until SEC staff declared the registration statement effective. During that period, the federal securities laws limited what information a company and related parties can release to the public."
Under the rules of the Securities Act of 1933, as modified June 29, 2005, electronic communications, including electronic road shows and information located on or hyperlinked to an issuer's website are also governed. The rules changes of June 29, 2005 also included various changes which "liberalize permitted offering activity and communications to allow more information" for certain qualifying organizations.
In business finance, a waiting period (or quiet period) is the time in which a company making an IPO must be silent about it, so as not to inflate the value of the stock artificially. It is also called the cooling-off period.
Read more about Quiet Period: Guidelines
Famous quotes containing the words quiet and/or period:
“Fearlessness is a more than ordinary strength of mind, which raises the soul above the troubles, disorders, and emotions which the prospect of great dangers are used to produce. And by this inward strength it is that heroes preserve themselves in a calm and quiet state, and enjoy a presence of mind and the free use of their reason in the midst of those terrible accidents that amaze and confound other people.”
—François, Duc De La Rochefoucauld (1613–1680)
“The easiest period in a crisis situation is actually the battle itself. The most difficult is the period of indecision—whether to fight or run away. And the most dangerous period is the aftermath. It is then, with all his resources spent and his guard down, that an individual must watch out for dulled reactions and faulty judgment.”
—Richard M. Nixon (1913–1995)