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> I do believe that insider trading is rampant. I've seen many occasions where a large corporate announcement sends a stock up or down, but hours before, you ca

> I do believe that insider trading is rampant. I've seen many occasions where a large corporate announcement sends a stock up or down, but hours before, you can see the price of the stock slowly slide in the direction. I can tell you from professional experience that is most often not insider trading. You might be surprised at the amount of meaningful information that can be legally obtained through research. I used to (very legally) find and analyze data that would lead to better conclusions than street analysts. The results of equity earnings are basically an open secret among institutional investors before they're announced.

ksdale 8y ago
Yeah, along the same lines, the actual definition of insider trading is a lot narrower than people think, there's interactions that would be insider trading if it came from the CEO, but is not insider trading if it comes from a guy who overheard the CEO on the phone in a coffee shop or something. Multiply that by thousands of employees with "sensitive" information having unguarded conversations that they're perfectly allowed to have, and there's a lot of information out there.