Insider trading is a term that most investors have heard and usually associate with illegal conduct recent government actions including the criminal case against martha stewart have enforced that view. Speech by sec staff insider trading a us perspective remarks by thomas c newkirk associate director division of enforcement melissa a robertson. Contrary to common belief insider trading is not always illegal insider trading is legal when corporate insiders such as a companys directors officers and employees buy or sell shares in their company in accordance with securities laws and regulations such legal insider trading must be . The better you understand why insider trading can be criminal the better youll understand how the market works
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