If I traded some company’s stocks based on material information that I got from inside the company, would I be violating the law?
Page Content
According to Article fifty of the Capital Market Law, any person who obtains, through family, business or contractual relationship, inside information is prohibited from directly or indirectly trading in the Security related to such information, or to disclose such information to another person with the expectation that such person will trade in such Security. No person may purchase or sell a Security based on information obtained from an insider while knowing that such person, by disclosing such insider information related to the Security, has violated the law.