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As many others have pointed out, this isn't insider trading. To drive home the point of how much insider trading laws aren't about fairness, consider this: It
by cortesoft 6y ago
As many others have pointed out, this isn't insider trading. To drive home the point of how much insider trading laws aren't about fairness, consider this:
It isn't insider trading for Facebook to use all the information it has about web trends to buy companies. However, if a Facebook employee used the non-public information Facebook has to go and buy stock in those same companies, that would be insider trading and be illegal.
- benrbray 6y agoI think you've pinpointed the exact problem. Most employees don't own a significant enough stake in their company to benefit from trades made by the company acting on company data. But executives do, and they personally gain from trading on behalf of the company. Trades that would be illegal for any other employee to make. I think what people mean is this isn't covered under the legal definitino of insider trading, but should be.