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Hi to all, Regardless of the professional role you assume in the future, you will soon realize that decisions are based on the information that
Hi to all,
Regardless of the professional role you assume in the future, you will soon realize that decisions are based on the information that is available to the decision-makers. Moreover, the outcome of a decision is substantially influenced by the quality of the information that is considered. There is no doubt that those market participants with access to high-quality information will attain better outcomes than those with poor-quality information. Furthermore, individuals who possess private information and trade on it (which is illegal in most instances), may de facto gain access to riskless profits. "The essence of insider trading is that corporate insiders exercise informational monopoly power over their trades" (Dalko and Wang, 2016)
I encourage all of you to participate throughout the week (Dec 7th to Dec 13th) by posting your opinion about "Is insider trading regulation effective?" (and comment about at least another comment from one of your peers).
Prior to posting your thoughts and ideas, please make sure to:
Watch the corresponding videos
Make sure you will provide some factual arguments justifying your standpoint
There are no right or wrongs. Feel free to express your own perspective so we can develop a constructive discussion about the topic. I am looking forward to reading your posts!
The corresponding links to the videos are below. **I am not endorsing any particular view regarding this topic.
Most Famous Insider Trading Scandals
From Short Selling to Insider Trading
Insider Trading: Illegal vs. Legal?
Insider Trading and The Rule of Law
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