insider trading

American  

noun

1. the illegal buying and selling of securities by persons acting on privileged information.

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insider trading Cultural  

1. The unlawful practice of using information that comes from a source “inside” the business but is not available to the general public to trade on the stock market. This activity is prohibited by law and is policed by the Securities and Exchange Commission.

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Discover More

In the mid-1980s, several revelations of insider trading rocked Wall Street.

Other Word Forms

• insider trader noun

Etymology

Origin of insider trading

First recorded in 1965–70

Example Sentences

Polymarket has said it complies with all applicable laws, and that because its technology provides real-time transparency into trading, episodes of possible manipulation and insider trading are quickly exposed.

From The Wall Street Journal

Her often-collaborative reporting on financial markets, insider trading, energy companies, pandemic vaccines and other areas have earned journalism honors.

From The Wall Street Journal

The crime of insider trading consists in taking advantage of other investors by buying or selling stock based on material, nonpublic information that could affect its value.

From The Wall Street Journal

A spokesperson for Kalshi said the prediction site "explicitly prohibits insider trading of any form, including government employees trading on prediction markets related to government activity".

From BBC

Polymarket has been hit with repeated controversies in recent months about potential insider trading.

From The Wall Street Journal