As the business world continues to expand in global markets, trading of shares, bonds derivatives and whatnot continues to increase. Here comes a trading that has received considerable interest in recent years called insider trading. The purpose of this work is to elucidate on what Insider trading encompasses. According to Black's law dictionary , insider trading is defined as the use of material non-public information in trading the shares of a company by a corporate insider or other person who owes a fiduciary duty to the company. It is a criminal offense which occurs when an individual makes a ( securities trade) due to material non-public information about a company. Insider trading is one of the very few crime that one can commit accidentally in the capital markets. For example,...
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