Series 52: 8.4.2.1.2.1. Municipal Fund Advertisements

Taken from our Series 52 Online Guide

8.4.2.1.2.1. Municipal Fund Advertisements

Advertisements for municipal fund securities, aside from being truthful, must also include these basic disclosure statements:

An investor should consider the investment objectives, risks, charges, and expenses associated with municipal fund securities before investing.

More information about municipal fund securities is available in the issuer’s official statement.

If the publisher of the advertisement is the underwriter of the issue and a source where the official statement can be found is listed in the advertisement, then the dealer must disclose that it is an underwriter on the issue.

The official statement should be read carefully before investing.

Additional disclosures for municipal fund advertisements should include a legend saying that:

Past performance does not guarantee future results

The value and monetary return of an investment will vary over time and may be worth more or less at redemption than its original cost

Current performance may be lower or higher than

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