prospectus

noun

pro·​spec·​tus prə-ˈspek-təs 

prä-

plural prospectuses

1

: a preliminary printed statement that describes an enterprise (such as a business or publication) and that is distributed to prospective buyers, investors, or participants

2

: something (such as a statement or situation) that forecasts the course or nature of something

Did you know?

Prospectus Is a Word for the Forward-Thinking

Like prospect, prospectus looks forward. Thus, a prospectus originally outlined something that didn't yet exist, describing what it would become. This might even be a book; the great dictionary of Noah Webster, like that of Samuel Johnson, was first announced in the form of a prospectus, so that well-to-do people might actually subscribe to it—that is, pay for it in advance so that Webster would have money to live on while writing it. Soon, prospectus was being used to mean a description of a private school or college, intended to attract new students. Today the word very often means a description of a stock offering or mutual fund, whether new or not.

Examples of prospectus in a Sentence

Recent Examples on the Web

For example, Fidelity Contrafund, a large-cap growth fund, says in its prospectus that the adviser may invest the fund's assets in securities of private or newly public companies. — Cheryl Winokur Munk, CNBC, 10 Nov. 2026

The prospectus then lists some 23 dates over the first year when non-founder employees can dump more shares. — Allison Morrow, CNN Money, 10 Nov. 2026

Anthropic, however, devoted an unusual amount of attention to potential risks in its preliminary prospectus, or S-1 filing. — Max Zahn, ABC News, 10 Nov. 2026

This week the company updated its prospectus to include its third quarter financial results, which showed a squeeze on the company’s margins as computing costs have risen. — Wen Shao, Fortune, 4 Nov. 2026

Word History

Etymology

Latin, prospect

First Known Use

1765, in the meaning defined at sense 1

Rhymes for prospectus

• conspectus
• pectus
• rectus

Kids Definition

prospectus

noun

pro·​spec·​tus prə-ˈspek-təs 

prä-

plural prospectuses

: a printed statement that describes something (as a new business) and is sent out to people who may want to take part (as by investing)

Legal Definition

prospectus

noun

pro·​spec·​tus prə-ˈspek-təs 

plural prospectuses

-tə-səz

: a preliminary printed statement describing a business or other enterprise and distributed to prospective buyers, investors, or participants

specifically : a description of a new security issue supplied to prospective purchasers and providing a disclosure of detailed information concerning the company's business and financial standing

Note: Under the Securities Act of 1933, the prospectus is part of the registration statement that must be filed with the Securities and Exchange Commission before a security may be offered or sold to the public. The Securities Act defines prospectus broadly as “any prospectus, notice, circular, advertisement, letter, or communication, written or by radio or television, which offers any security for sale or confirms the sale of any security.”