Material Insider Information

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Dictionary Says

Definition of 'Material Insider Information'

Material information, about certain aspects of a company, that has not yet been made public but that will have at least a small  impact on the company's share price once released. It is illegal for holders of material insider information to use the information - however it was received - to their advantage in trading stock, or to provide the information to family members or friends so they can use it to make trades.
Investopedia Says

Investopedia explains 'Material Insider Information'

Getting information that a company's expected earnings per share for a given quarter could be markedly poorer than expected, or getting information about developments in an ongoing lawsuit involving a company are both examples of material insider information.  

Search results for

'Material Insider Information'

  • CFA Level 1 Study Guide - Ethics and Standards - Standard II-A ...

    http://www.investopedia.com/exam-guide/cfa-level-1/ethics-standards/standard-nonpublic-information.asp
    ... Objectivity; 1.6 Standard IC: Misrepresentation; 1.7 Standard ID: Misconduct;
    1.8 Standard II-A: Material Nonpublic Information; 1.9 ...

  • Insider Selling Isn't Always A Bad Sign

    http://www.investopedia.com/articles/stocks/07/10b5-1.asp
    ... 1 (c), which allows for a defense against the insider trading rule as long as the
    individual can determine that no non-material insider information was used as ...

  • Infamous Insider Traders

    http://www.investopedia.com/articles/financial-theory/09/defining-insider-trading.asp
    ... The problem with the new rules was that no firm definition was made as to what
    constituted material facts, aka material insider information. ...

  • Top 4 Most Scandalous Insider Trading Debacles

    http://www.investopedia.com/articles/stocks/09/insider-trading.asp
    ... Because the column was the personal opinion of Winans rather than material insider
    information, the SEC was forced into a unique and dangerous strategy. ...

  • Defining Illegal Insider Trading

    http://www.investopedia.com/articles/03/100803.asp
    ... the law even though the information was just ... overheard: the neighbor becomes an insider
    with a ... he or she comes to possess the nonpublic material information. ...

  • Series 6 Study Guide - Securities Industry Regulations - Insider ...

    http://www.investopedia.com/exam-guide/finra-series-6/securities-industry-regulations/insider-trading-securities-fraud-enforcement-act-1988.asp
    ... An insider is guilty of breaking SEC rules when using material, non-public information
    to trade securities, or when passing on information to another person ...

  • Should Insider Trading Be Legal? - Investopedia.com

    http://financialedge.investopedia.com/financial-edge/0210/Should-Insider-Trading-Be-Legal.aspx
    ... Illegal insider trading occurs when an insider buys or sells securities
    based on information which is non-public and material. "Non ...

  • Series 26 Study Guide - Supervisory Systems - Code of Arbitration ...

    http://www.investopedia.com/exam-guide/series-26/supervisory-systems/arbitration-insider-trading.asp
    ... An insider is guilty of breaking SEC rules when using material, non-public information
    to trade securities, or when passing on information to another person ...

  • What Investors Can Learn From Insider Trading

    http://www.investopedia.com/articles/02/061202.asp
    ... misconception is that only directors and upper management can be convicted of insider
    trading. Anybody who has material and nonpublic information can commit ...

  • Standards And Ethics For Financial Professionals

    http://www.investopedia.com/articles/financialcareers/09/professional-standards-ethics.asp
    ... analysts are free to use public, material and non-material information during the ...
    game" and can be attributed to their research and not to insider information. ...

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