The background trading on the stocks in the insider trade data are taken from the Institute for the Study of Security Markets (ISSM) transaction database for the period January 1988-December 1992 and the Trade and Quote (TAQ) transaction database for the period January 1993-December 2002.
We start by checking whether the reported insider trade has a matching ticker symbol in the ISSM or TAQ databases for identification purposes.
Where there are no insider trades or when insider purchases equal insider sales, we classify the observation as "no insider trade.
The first column shows the percentage of sample announcements where at least one insider trade (either purchase or sale) occurs during the week.
The data on insider trades used in this study are drawn from the Thomson Reuters insider filings database and cover the period January 1986 to December 2007.
Collectively, the results of this study suggest that it is possible to identify, out of the tens of thousands of insider trades made each year, which trades are more likely to be opportunistic and informative.
Many firms have established internal procedures that restrict insider trades to short windows after quarterly earnings announcements, with the goal of preventing managers from taking advantage of short-term inside information.
An added difficulty in extracting useful information from executives' insider trades is the increased prevalence of equity-based compensation for top managers: most top executives these days receive significant grants of stock options and restricted stock, and hold considerable amounts of both vested and unvested equity in their employer.
Letting Aliza Waksal keep her profits from insider trades
MoSys") (Nasdaq:MOSY) stated today that delays in reporting of SEC filings of proposed sale of securities under Rule 144 apparently have caused confusion about insider trades
of MoSys shares.
94) Because Smith involved a criminal prosecution, however, the court stopped short of Adler's holding that an inference of use arises when the insider trades
while in possession of material, nonpublic information: "[W]e deal here with a criminal prosecution, not a civil enforcement proceeding, as was the situation in Adler.
The July 10 Securities and Exchange Commission filing deadline for June transactions has passed, and a slew of new insider trades
has been pumped into our database.
Thus, our evidence is consistent with insider trades
exhibiting both significant anticipation of high and low returns and significant reaction after them.
The co-branded site will offer the very latest insider trades
filed with the Securities and Exchange Commission in over 10,000 public companies as well as complete personal transaction histories dating back to 1986 (every purchase, option exercise and sell transaction) for over 150,000 separate individual corporate insiders accessible through its unique MFN license agreement with Primark (NYSE:PMK).
Integrated data: Users are able to access company, industry, and insider level data with the click of a mouse, and move easily from insider trades
, to Form 144s to insider holdings.