Wednesday, October 16, 2013

How does insider trading affect the other stock holders? and The American Stock Exchange

How does insider trading affect the other stock holders?



Lets pretend my neighbor and I have stock in a company and he gets insider information and sells his stock before the company drops. Does him pre-emptively selling his stock negatively affect my stock?


Stock best answer:

Answer by golferwhoworks
no as your stock was devalued. But your neighbor is in deep trouble as he sold with info that the stock was going to decline in value and thus he is fined on the avoidance of loss


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The American Stock Exchange
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Image by epicharmus
New York's other stock exchange. Designed by Starrett & Van Vleck, built in 1921. I say a little bit more about it on my landmarks blog.

National Register Numbers
American Stock Exchange: 78001867
Wall Street Historic District: 07000063



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