insider trading: Rat trading is also known as front-running in US and European markets, according to Global Times China. In a typical case, fund managers buy stocks via their own accounts before the financial institutions they work for make large deals and then sell the stocks to make personal gains after the prices rally. A judicial interpretation jointly issued by the country's top court and top procuratorate on Friday made specific stipulations on what qualifies as other undisclosed information in insider trading under the Criminal Law, what violations entail and what counts as severe and extremely severe offenses. Such violations used to be rampant until regulators stepped in to restore market order, and a number of criminal convictions have been meted out since 2017. Among other things, it made knowledge of investment decisions and trading orders part of other undisclosed information, the trading of which is punishable by the Criminal Law. The judicial interpretation issued Friday aims to eliminate legal grey areas for such practices.
(news.financializer.com). As
reported in the news.
Tagged under insider trading, rat trading topics.