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Inside market |
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Inside marketRefers to over-the-counter trading. Best (highest) bid and best (lowest) offer, often used in the O.T.C. Market. See: In-line.Inside market Similar MatchesInsider tradingInsider tradingTrading by officers, directors, major stockholders, or others who hold private inside information allowing them to benefit from buying or selling stock. Insider Trading Sanctions Act of 1984Insider Trading Sanctions Act of 1984Act imposing civil and criminal penalties for insider trading violations. Insider informationInsider informationPrice-sensitive information about a company that has not yet been made public.People who use the information either to make a profit for themselves or for someone else are committing a criminal offence (insider dealing).The inside dealer does not have to work for the company for his dealing to be an offence. So a stockbroker, or merchant banker, who knows about an impending takeover deal who buys shares in the target company with the intention of making a profit, is guilty. If he gets a friend to buy the shares, he is still guilty. In theory, the net is cast quite wide. In practice, insider dealing prosecutions are rare, and successful ones rarer still because the allegations are so hard to prove.Note the difference between insider dealing (an offence) and directors dealings (not an offence). Insider Trading & Securities Fraud Enforcement Act of 1988 (ITSFEA)Insider Trading & Securities Fraud Enforcement Act of 1988 (ITSFEA)Federal legislation that greatly increased the penalties for trading on material inside information. Insider dealingInsider dealingIllegal share dealings by employees of a company where they have used confidential price-sensitive information for their own gain or the gain of their associates.The inside dealer does not have to work for the company for his dealing to be an offence. So a stockbroker, or merchant banker, who knows about an impending takeover deal who buys shares in the target company with the intention of making a profit, is guilty. If he gets a friend to buy the shares, he is still guilty. In theory, the net is cast quite wide. In practice, insider dealing prosecutions are rare, and successful ones rarer still because the allegations are so hard to prove.Note the difference between insider dealing (an offence) and directors dealings (not an offence). Further SuggestionsInsider information |
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