Definition of Red herring:
Securities: Popular term for preliminary official statement.
Something, especially a clue, that is or is intended to be misleading or distracting.
General: Irrelevant issue or point, raised often as a distraction.
A red herring is a preliminary prospectus filed by a company with the Securities and Exchange Commission (SEC), usually in connection with the company's initial public offering (IPO). A red herring prospectus contains most of the information pertaining to the company's operations and prospects but does not include key details of the security issue, such as its price and the number of shares offered.
A red herring prospectus may refer to the first prospectus filed with the SEC as well as a variety of subsequent drafts created prior to obtaining approval for public release. To be considered eligible for release, the SEC must thoroughly review a red herring prospectus to ensure the information contained therein does not include any intentional or incidental falsehoods or statements that are in violation of any laws or regulations. The SEC may also note any failure to disclose required information.
A dried smoked herring, which is turned red by the smoke.
Synonyms of Red herring
Bluff, Blind, Ruse, Feint, Deception, Subterfuge, Hoax, Trick, Ploy, Device, Wile, Sham, Pretence, Artifice, Cover, Smokescreen, Distraction, Expedient, Contrivance, Machination, Anguille, Art, Artful dodge, Artifice, Blind, Caviar, Chicanery, Conspiracy, Contrivance, Coup, Craft, Cute trick, Deceit, Design, Device, Dodge, Eel, Expedient, Fakement, Feint, Fetch, Fish, Fish eggs, Gambit, Game, Gimmick, Grift, Intrigue, Jugglery, Kipper, Kippered salmon, Knavery, Little game, Maneuver, Move, Plot, Ploy, Poisson, Racket, Roe, Ruse, Scheme, Seafood, Shift, Sleight, Smoked herring, Stratagem, Strategy, Subterfuge, Tactic, Trick, Trickery, Wile, Wily device
How to use Red herring in a sentence?
- Information in a red herring is subject to change and the SEC merely ensures all proper information is disclosed.
- In the next few decades these kippers almost completely took over the market from the old salty red herrings.
- The document states that a registration statement has been filed with the SEC but is not yet effective.
- The book is fast-paced, exciting, and full of red herrings.
- A red herring is a preliminary prospectus filed with the SEC, usually in connection with an IPO—excludes key details of the issue, such as price and number of shares offered.
Meaning of Red herring & Red herring Definition