Introduction: Insider Trading

Abstract:     
This paper is the introductory chapter to Insider Trading (Oxford University Press 3d ed. 2010). This treatise analyzes the application of various laws to stock market insider trading and tipping. Among the federal laws are Exchange Act section 10(b), SEC Rule 10b-5, mail/wire fraud, SEC Rule 14e-3, Exchange Act section 16, and Securities Act section 17(a). The state law discussed is both state common law and a state law claim by the issuer.

Another chapter addresses government enforcement of the insider trading/tipping prohibitions. A chapter on compliance programs deals with how firms can try to prevent illegal insider trading and tipping. Two chapters compare the harmful and allegedly beneficial effects of stock market insider trading and discuss the harm to individual investors from each specific insider trade.

Number of Pages in PDF File: 8

Keywords: Insider Trading, Insider Tipping, Inside Information, Selective Disclosure, Material Nonpublic Information, Material Non-Public Information, Regulation FD, Regulation Fair Disclosure, 10b5-1, 10b5-2, 10b-5, 10(b), Securities Fraud, Mail Fraud, Wire Fraud, SEC, Securities and Exchange Committee

JEL Classification: D61, D82, G14, G18, G28, G38, K14, K22, K4

Accepted Paper Series