DEFINITION of 'Lockdown'

A specified period when an employee of a public company is barred from selling - and occasionally buying - his or her company's stock.


These types of equity transaction restrictions can be imposed by securities regulators or underwriting firms if a company has recently issued public securities. They can also be self-imposed by a corporation as an impetus for employees to retain company stock.

  1. Employee Stock Option - ESO

    A stock option granted to specified employees of a company. ESOs ...
  2. Open-Market Transaction

    An order placed by an insider, after all appropriate documentation ...
  3. Share Purchase Rights

    A type of security that gives the holder the option, but not ...
  4. Securities And Exchange Commission ...

    A government commission created by Congress to regulate the securities ...
  5. Insider Trading

    The buying or selling of a security by someone who has access ...
  6. Corporate Culture

    The beliefs and behaviors that determine how a company's employees ...
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