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What Is Insider Trading — and How Investors Use Insider Data Legally
When people hear the term “insider trading,” they often think of illegal backroom deals or executives secretly profiting from confidential information. While illegal insider trading does exist, there’s another side that is completely legal, transparent, and publicly available — and it can provide valuable signals for investors.
Understanding Insider Trading
Corporate insiders are individuals with close knowledge of a company’s operations. This includes:
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