Accounting

The Unintended Consequences of Forcing Insider Trading Transparency

Research from professor Xu Jiang found that a law intended to reduce insider trading actually boosted their profits

, Policies can unexpectedly backfire. It’s so common it’s sometimes even referred to as the “law” of unintended consequences. Take insider trading. A 2002 rule meant to increase transparency regarding insiders buying or selling their company’s stock may have enabled them to make more money on their trades, according to research… read more