1. Insider Trading
... trading is perfectly legal. Illegal insider trading refers generally to buying or selling a security, in breach of a fiduciary duty or other relationship of trust and confidence, while in possession of material, nonpublic information about the security. Because insider trading undermines investor confidence in the fairness and integrity of the securities markets, the SEC has treated the detection and prosecution of insider ... exchanges, brokers, and dealers in securities, and sets margin requirements for bank credit in security trading. The laws restricting insider trading define "insi...
- Word Count: 1526
- Approx Pages: 6
- Grade Level: Undergraduate