3 ms·
Because you have inside knowledge and you are altering the stock price.
by jsiepkes 3y ago
Because you have inside knowledge and you are altering the stock price.
- koolba 3y agoThe company is in charge of itself. Everything it does alters the price. Bought back shares strictly increase the price for existing shareholders as it takes them off the market. The entire concept is mainly due to stupidity in tax law that ends up double taxing direct dividends.
- chongli 3y agoStock buybacks are heavily regulated. They need to be tracked and publicly reported and the plans for buybacks need to be announced by the company ahead of time.
- jomohke 3y agoNote that buybacks must be announced beforehand by the company, so everyone selling their shares has the same knowledge.