Insider Trading

Discussion in 'Trading' started by insaneinvestor, Oct 25, 2007.

  1. I looked up the term several places and it is unclear.

    Let's say someone works for a company that is publicly traded. This person does not have a high-level title and owns no portion of the company, just an employee.

    If said employee wishes to trade options based on their own speculation... is this considered insider trading and does this have to be reported?

    I would think not because the trade would be so small and insignificant in the big picture however there is the chance someone may think the trade was placed based on information not accessible to the general public.

    This is a hypothetical question. I do not work for a public company, but IF I did...

    I almost think it is prob better to just stay away from trading a company you work for but I am curious to the answer to this question.

    Thanks in advance...
  2. If the employee gets insider based info and trades on it it is illegal. Insider info is stuff like earnings reports, sec investigations, new products, etc
  3. bluud


    if you have anything just let me know [​IMG] ... i'll trade it for you and I will take a commission ... I'm not that greedy ... I only take 38% of net [​IMG]
  4. Your companies compliance dept would tell you not to trade company options