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It is not so much about the retail investors as it is about the professionals. Most of the market is determined by them, in a world without them, prices will le
by rocqua 8y ago
It is not so much about the retail investors as it is about the professionals. Most of the market is determined by them, in a world without them, prices will less accurately reflect the 'true value' of stocks. As such, we want to keep them trading. We also kind of want to dis-incentivize the professional traders from engaging in massive corporate espionage. Just because that is an arms-race that isn't very productive.
- runeks 8y agoYou keep saying "we" -- who are you speaking for? Your argument that professional traders would stop trading in unison if insider trading laws were abolished seems entirely unconvincing to me.