insider trading

insider trading


finance : the illegal activity of buying and selling a company's stocks while using secret information from a person who works for the company

Full Definition of INSIDER TRADING

:  the illegal use of information available only to insiders in order to make a profit in financial trading

First Known Use of INSIDER TRADING


insider trading

noun    (Concise Encyclopedia)

Illegal use of insider information for profit in financial trading. Since 1934, the Securities and Exchange Commission has prohibited trading while in possession of material nonpublic information. See also arbitrage, Michael R. Milken.


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