insider trading

noun

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

Examples of insider trading in a Sentence

Recent Examples on the Web
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The Eddie Murphy rule is named after the actor because of the insider trading scheme depicted in Trading Places, which involved futures contracts for frozen concentrated orange juice. ArsTechnica, 24 Apr. 2026 Concerns about insider trading have also emerged. Encyclopedia Britannica, 24 Apr. 2026 The arrest and indictment are believed to be the first instance of the Department of Justice prosecuting a case of insider trading on a prediction market. Katherine Faulders, ABC News, 23 Apr. 2026 Van Dyke also faces insider trading charges by the Commodity Futures Trading Commission (CFTC). Louis Casiano, FOXNews.com, 23 Apr. 2026 See All Example Sentences for insider trading

Word History

First Known Use

1966, in the meaning defined above

Time Traveler
The first known use of insider trading was in 1966

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Cite this Entry

“Insider trading.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/insider%20trading. Accessed 28 Apr. 2026.

Legal Definition

insider trading

noun
: the illegal use of especially material inside information for profit in financial trading see also tippee

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