unless you make millions though it wont be noticed
Even if you do, there will be no proof unless you keep the "OMGZ BUY BUY BUY WE ABOUT TO BE BOUGHT BY MICROSOFT!!!1!" email
Is it illegal to act upon insider info
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Even if you do, there will be no proof unless you keep the "OMGZ BUY BUY BUY WE ABOUT TO BE BOUGHT BY MICROSOFT!!!1!" email
yes it is illegal but unless your suddenly buying thousands/hundreds of thousands of pounds worth of shares it's hard to spot any "dodgy" transactions.
If you suddenly setup a share purchase account, deposit £100k and then buy shares that rocket the next day, that's pretty obvious but at lower levels it's not really that clear. But it is technically illegal.
If you suddenly setup a share purchase account, deposit £100k and then buy shares that rocket the next day, that's pretty obvious but at lower levels it's not really that clear. But it is technically illegal.
Really? I didn't realise you were familiar with the FSA Transaction Reporting Service....
Blue horseshoe loves Anacott Steel.
How do you know how frequently it happens?
which one?
insider dealing i'm sure happens all the time - people talk and take advantage to make a bit of money. Its wrong but it still happens.
as for convictions - there are a number of high profile cases but i don't know how many smaller ones happen. maybe the fsa guy can tell us.
its part of corporate governess also - you cannot reveal price sensitive info that has not been revealed to the shareholders first. Any director that does that will be sacked. There are lots of rules and laws in place.
Check the FSA website and there's loads of info and details on there including convictions/details etc.
Takes years to get convictions as the information, telephone records, bank records, trading information etc can take years to sift through to get proof that it was actually insider trading etc.
Takes years to get convictions as the information, telephone records, bank records, trading information etc can take years to sift through to get proof that it was actually insider trading etc.
I don't think you have any idea whatsoever how frequently this happens. People won't publicize it, you'll only hear when a high profile individual someone involved in a huge profit gets caught.
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Where to begin....
The analogy makes no sense for starters. For seconds you are hurting other people. You are exploiting knowledge which you should not have to the detriment of other investors. Whether or not insider trading takes place does not make it ok to do it yourself. Many forms of criminal activity are rife, it doesn't mean you just pile in.
OP as has been pointed out unless you are dealing with a very small company or investing a huge amount of money, you are unlikely to even be noticed let alone convicted. That said what you are doing IS a crime and if caught you would likely be prosecuted. My advice is to just forget about it and move on.
you are right, i don't - i was hoping someone would enlighten me.
And so easy. The amount of times over the years I have heard titbits of crucial information which has resulted in that companies share price rocketing a few months later but I have never acted on it.
The last one I knew about, the share price tripled within two months.
It's so easy with so many people involved and they might mention something innocently in passing or to their wife who mentions it to their hairdresser etc.
Most people never get prosecuted. Obviously the big cases where directors buy millions of shares just before a big announcement which see the price rocket get caught and eventuallu get done but it's complex and hard to secure a prosecution.