Understanding the US Stock Market can be daunting especially when you’re just a beginner looking to understand what stocks are. You may have heard that some people hit it big because of investing in stocks. You may want to invest also but aren’t sure how the system works. To help you understand the US Stock [...]

If you are a newbie in the stock market industry and question marks still appear in your head whenever the stock market is being discussed in the news or in the papers then this article for you. I give you some of the most common terms used in the stock market industry. Stocks and the [...]

I’m sure you have heard from news anchors or stock market analysts that the market went up by 50 points or the market was down by 50 points. You may wonder what they are talking about and brush it aside as may be another one of those unnecessary or meaningless banters. Well, I’ve got news [...]

There are two sides in every story and each side deserves ample print space to air their views. The same is true for the raging debate on insider trading. In previous articles I have tackled the views and theories on why insider trading should be prohibited and declared unlawful. It is only fair that the [...]

There are economists and legal scholars that are pushing to change the insider trading laws today. They are against prohibiting insider trading and declaring it as unlawful. According to these people it would be more beneficial if insider trading would be declared lawful. On the opposite side of the spectrum there are those scholars that [...]

One of the arguments that were posed against fraud theory is the reasoning that in a market economy all of the businessmen use information that is unknown to the other businessmen in order to profit at the expense of his competitors. In a market economy all businesses that cannot compete would be forced to close-down. [...]

Unlike the earlier theories on fraud and breach of the fiduciary obligation, that focus more on the individual losses and effect of insider trading to investors and managers, the third theory chooses to focus more on the effect of insider trading to the liquidity traders. The third theory also focuses more on the aggregate and [...]