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Education Videos 108 videos

Finance: What is After Hours Trading?
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What is After Hours Trading/Extended Trading? After hours trading describes any trades made after the market closes or before the market opens. Bec...

Finance: What is the Dow Jones Industrial Average?
2710 Views

What is the Dow Jones Industrial Average? The Dow Jones Industrial Average is usually just called the Dow. It’s an average of 30 of the most well...

Finance: What Do You Need to Retire?
209 Views

What do you need to retire? Retirement - think: 401k, pension fund, IRA, roth IRA, etc. All of these savings socked away while you worked hard are...

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Finance: What are Insider Trading And the Securities Fraud Enforcement Act Of 1988? 11 Views


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Description:

What is insider trading and the Securities Fraud Enforcement Act of 1988? It's nothing too complicated, if this minute long video is any indication.

Language:
English Language

Transcript

00:00

Finance a la shmoop what is insider trading and the securities fraud

00:06

Enforcement Act of 1988? all right well the Securities and Exchange Act of 1934

00:12

aka the 34 Act made it formally illegal to use inside information in trading

00:20

stocks amazingly that used to not be illegal or at least not explicitly so [People gambling]

00:26

and it wasn't enforced investing was well a clubby white man's insiders gig

00:31

and the boys took care of the boys well since people could make a lot of

00:35

money with insider information and thought they wouldn't get caught like [Boy peeing at a urinal]

00:39

well who's gonna know that I overheard the CEO of big company talking about a

00:45

merger in a Denny's washroom you know some folks pretty much ignored

00:49

the law well the 1988 law was basically Congress saying you guys were really [Congressman discussing the 1988 law]

00:54

serious about this so this new legislation added some hefty penalties

00:59

if you get caught as an inside trader people still trade on insider

01:03

information though and they still get caught and they go to jail and they lose [Jail door closes on man]

01:07

everything they have so he's got to realize some of us were just born to be

01:12

bad...

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