In this lesson, we’ll learn about what issuers and underwriters may, may not, and must do after registration statements become effective.

I. Effectiveness

Once the registration statement has gone effective, the underwriters may sell and deliver the securities. In the case of initial public offerings, or IPOs, when an issuer offers its equity securities to the public for the first time, the securities will typically be listed for trading on an exchange like the New York Stock Exchange. The...