4 ms·
Failing to make a trade is not the same thing as insider trading. There is actually a loophole available to executives and other insiders right now that exploi
by alasdair_ 6y ago
Failing to make a trade is not the same thing as insider trading.
There is actually a loophole available to executives and other insiders right now that exploits this fact - you can file a 10b5-1 plan with your broker, which allows executives to say "I'm going to sell my shares according to this schedule" and bypasses blackout periods etc. You can then cancel the plan if the numbers look really good and you want to hang on to the shares. No crime has occurred since you didn't actually trade any shares, you simply failed to trade some shares you normally would have.