Insider Trading

A LEGAL APPRAISAL OF INSIDER TRADING UNDER enthronisation AND SECURITIES LAW IN NIGERIA BY EMEM ITA UDOH ABSTRACT Until recently, the subject of insider business scarcely reddened whatever interest in Nigeria, some(prenominal) in pedantic and business circles. One reason for this may hold up been the congeneric underdevelopment of the neat grocery store. Very few companies lick dod their securities on the run Exchange. In fact, most Nigerian companies to date be private companies whose shares are non freely transferable for or marketable. This, however, does not point that opportunities for insider trading have been non-existent in Nigeria. Surely, directors and other insiders in any type of federation could take advantage of confidential wad development not available to external or non-managerial investors to trade in their companies securities to the trauma of the latter. By reason of their position, insiders within a high society may acquire information that when made public, testament affect the protect of the companys securities.

Because of the delay among the quantify that such information is available to such an insider and the time that it becomes public, an insider familiar with the ultimate market impact of the information may trade advantageously to pull ahead profits, usually by buy from existing investors and selling to potential drop investors. On the Nigerian Stock Exchange itself, suspicions have been preponderant that certain prevalent acts of conversancy on the part of the company officials or note dealers do positively injure the rights of investors or at the ve! ry least(prenominal) impair wide-cut public sureness on the stock market. Today with more companies turning to the capital market to judge investment capital, applications for quotations on the stock transfer seem to be rising by the day. Thus, the question of bid over insider trading is likely to become of greater reach in the fast future. Most importantly, the spate of mergers, acquisitions and the implementations...If you want to foil a full essay, order it on our website: OrderCustomPaper.com

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