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When is the announcement happening for the members of congress that made investments in key areas after they were briefed on covid-19 and potential impact? > W

When is the announcement happening for the members of congress that made investments in key areas after they were briefed on covid-19 and potential impact? > We are a free market economy. They should be able to participate in that

sneak 5y ago
Insider trading requires privileged access to inside information. Covid impacts to society are not inside/internal data to those companies, those briefings were happening when it was obvious we were having a global pandemic to anyone paying attention. The inputs to the deductive reasoning process were public information.
- syshum 5y ago
  Congress is privy to inside information that impacts the market via several mechanism including private briefings for upcoming policy changes, or knowing about laws that will be passed before the actual votes Congress should be investigate more thoroughly for insider trading, or even barred from trading at all (which is my preferred solution)
- nawgz 5y ago
  > Insider trading requires privileged access to inside information You think knowledge of the laws and regulations that Congress is going to enact before they're enacted or public is not "inside information"? Defend this stance.
mgraczyk 5y ago
All the specific allegations that I looked into were absolutely not insider trading. The heavily scrutinized Pelosi trades, for example, were pre-planned rolling of options that did not generate profits directly and would have been executed very differently if the trader had any foreknowledge of future price movements in the underlying. People often sell and buy options at different expiry dates to keep their position static, not to trade based on new information.
- syshum 5y ago
  ahh yes, the classic "we investigated ourselves and found we did nothing wrong" Sorry if I do not trust their investigation
  - mgraczyk 5y ago
    I'm not a member of Congress
deleted 5y ago
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vmception 5y ago
To clarify, “Insider Trading”, the criminal charge, requires a contract with the company or fiduciary duty with the company not to trade on nonpublic information or disclose something nonpublic + the receiver trade on it, as a prerequisite to getting charged by the insider trading police (SEC + DOJ). Thats the reason for this line in indictment summary: > The SEC’s complaint alleges that despite receiving a company policy that prohibited them from insider trading There would be no case without it (but NDAs or trade secret policies or a clause present in most employment contracts would cover it) In any case, When only receiving a tip, the obligations of the receiver is still unclear. Maybe they can trade, maybe they cant. (As there is no actual federal law on insider trading in the US and the SEC has made it up through court cases over time.) They use their general fraud statute, as well as prior remaining case law that slightly went in their favor, because they lose in court a lot.
Anon1096 5y ago
Insider trading as the law currently is written is about theft of company secrets for private gain. Knowing what is going on in the world is not stealing information from any particular company.

sneak 5y ago

Insider trading requires privileged access to inside information. Covid impacts to society are not inside/internal data to those companies, those briefings were happening when it was obvious we were having a global pandemic to anyone paying attention. The inputs to the deductive reasoning process were public information.

syshum 5y ago
Congress is privy to inside information that impacts the market via several mechanism including private briefings for upcoming policy changes, or knowing about laws that will be passed before the actual votes Congress should be investigate more thoroughly for insider trading, or even barred from trading at all (which is my preferred solution)
nawgz 5y ago
> Insider trading requires privileged access to inside information You think knowledge of the laws and regulations that Congress is going to enact before they're enacted or public is not "inside information"? Defend this stance.

mgraczyk 5y ago

All the specific allegations that I looked into were absolutely not insider trading. The heavily scrutinized Pelosi trades, for example, were pre-planned rolling of options that did not generate profits directly and would have been executed very differently if the trader had any foreknowledge of future price movements in the underlying. People often sell and buy options at different expiry dates to keep their position static, not to trade based on new information.

syshum 5y ago
ahh yes, the classic "we investigated ourselves and found we did nothing wrong" Sorry if I do not trust their investigation
- mgraczyk 5y ago
  I'm not a member of Congress

deleted 5y ago

[deleted]

vmception 5y ago

To clarify, “Insider Trading”, the criminal charge, requires a contract with the company or fiduciary duty with the company not to trade on nonpublic information or disclose something nonpublic + the receiver trade on it, as a prerequisite to getting charged by the insider trading police (SEC + DOJ). Thats the reason for this line in indictment summary: > The SEC’s complaint alleges that despite receiving a company policy that prohibited them from insider trading There would be no case without it (but NDAs or trade secret policies or a clause present in most employment contracts would cover it) In any case, When only receiving a tip, the obligations of the receiver is still unclear. Maybe they can trade, maybe they cant. (As there is no actual federal law on insider trading in the US and the SEC has made it up through court cases over time.) They use their general fraud statute, as well as prior remaining case law that slightly went in their favor, because they lose in court a lot.

Anon1096 5y ago

Insider trading as the law currently is written is about theft of company secrets for private gain. Knowing what is going on in the world is not stealing information from any particular company.