For Investors
"Did You Know?"
There are five types of auditor’s opinions on the financial statements as a whole: Standard Unqualified Opinion, Explanatory Language Needed, Qualified Opinion, Adverse Opinion, and Disclaimer Opinion.((May 17)
Independent auditors conduct audits of public companies in accordance with the standards of the Public Company Accounting Oversight Board.(May 8)
Before accepting a new engagement, an audit firm reviews business and personal relationships of firm staff and other matters that could prevent auditors from complying with PCAOB and SEC independence rules.(May 3)
Independent auditors are required to read management disclosures outside the financial statements in the annual report and consider whether the information contains material misstatements or is materially inconsistent with the financial statements.(April 25)
Public companies with market capitalization of $75 million or more are required to have an audit of management’s assessment of the effectiveness of the company’s internal control over financial reporting.(April 17)
Investor Education Resources
A number of prominent organizations sponsor financial literacy campaigns to promote investor awareness of the importance of our capital markets, explain the roles and responsibilities of market participants, and to help individuals make wise investment decisions. More information and links to these campaigns can be found below.
Securities and Exchange Commission
The SEC's Office of Investor Education and Advocacy is dedicated to serving the needs of individual investors. It provides unbiased information on investment choices and on protecting investors from securities fraud or abuse. Investor.gov is the SEC’s website devoted exclusively to investor education, providing investors with in-depth information and "top tips" on how to invest wisely, plan for the future, and avoid being scammed.
Federal Reserve Education
The Federal Reserve, which serves as the nation's central bank, consists of a seven member Board of Governors and twelve Reserve Banks located in major cities throughout the United States. The Fed offers resources to investors, teachers and students on consumer finance, investor protection and the U.S. banking system.
Public Company Accounting Oversight Board
The PCAOB is a nonprofit corporation established by Congress to oversee the audits of public companies in order to protect the interests of investors and further the public interest in the preparation of informative, accurate and independent audit reports. The PCAOB also oversees the audits of broker-dealers, including compliance reports filed pursuant to federal securities laws, to promote investor protection.
Financial Industry Regulatory Authority
FINRA is the largest independent regulator for all securities firms doing business in the United States. FINRA’s mission is to protect investors by maintaining the fairness of the U.S. capital markets. FINRA offers articles, interactive tools, alerts and other resources that help investors learn more about investing, how to build their financial knowledge and protect themselves.
