Law of Corporate Finance

Topic- Insider Trading- (Important Terms of CF)


Insider Trading-

An insider is a person who has access to the unpublished sensitive information in respect of the securities of a company, because of his connections with the company via an employment in the company or can be any other connection. This means that the information is not known to the public and is of such nature that it would affect the share price of the company if exploited in a wrong way.