SEC insider trading
2014-03-01 01:12:52.793994+01 by
Dan Lyke
1 comments
SEC rules mean that SEC employees have to insider trade. SEC employees don't seem to be any better at buying stocks than anyone else, but they manage to sell pretty smartly, right before enforcement actions. Why?
Nester explained that before staff can work on an issue that involves a company, they have to sell any holdings of stock in that firm. As a result, he said, there shouldn't be any surprise that a sale would precede the announcement of an enforcement action.
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#Comment Re: made: 2014-03-01 02:31:06.398951+01 by:
ebwolf
When I was at USGS, I was forbidden to hold stock in any company that had any kind of tie to natural resources. I could own shares in mutual funds but not stock. I wonder why that isn't extended to all Federal Agencies?
The Thrift Savings Plan (Federal version of a 401K) is managed quite well. They could just create some mutual funds using the exact same management and make it a condition of Federal employment that those are your investment vehicles - no direct stock ownership.
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