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Aren't senior executives legally required to submit their trading plans well in advance of any stock sale? That certainly seemed to be the case at my last emplo

by tdeck 9y ago

Aren't senior executives legally required to submit their trading plans well in advance of any stock sale? That certainly seemed to be the case at my last employer.

QUFB 9y ago
From the article: > None of the filings lists the transactions as being part of 10b5-1 pre-scheduled trading plans.
- loeg 9y ago
  That doesn't answer the question. We all read that the trades were not planned in advance. The question is, is that by definition illegal? Or were the trades only illegal because they had insider knowledge that the price was about to drop?
  - khuey 9y ago
    If they had access to material non-public information and then decided to trade it would be illegal. Trades that are not planned in advance are not illegal in and of themselves.
    - loeg 9y ago
      Do you think executives ever do not have access to material non-public information?
all_blue_chucks 9y ago
No, they are not required to do that. Many choose to do that to avoid the appearance of insider trading, though.
icelancer 9y ago
No, it's an affirmative defense to do so, but not required. There are a lot of reasons to sell outside of the scheduled plan. Many executives will set up minimal scheduled selling plans and liquidate more as diversification becomes necessary, or key purchases in their life. Documentation is everything.