Economics · Financial Markets
Which of the following descriptions best defines the term 'Insider Trading'?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1A CSR activity initiated by companies to distribute shares to their lower-level employees
- 2The trading of shares conducted exclusively between registered mutual fund houses
- 3A legal methods used by market makers to provide liquidity for newly listed shares
- 4The illegal practice of trading on the stock exchange to one's own advantage through having access to confidential information✓
Correct answer
The illegal practice of trading on the stock exchange to one's own advantage through having access to confidential information
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