Insider Trading Training
Delivery Option: Online & In-Person
Available as MarketSite Purchase >>
Sanctions for insider trading can include civil, criminal, and financial penalties, as well as termination of employment and restriction from certain kinds of future employment. To avoid such penalties, employers must educate their employees on the appropriate use of material, nonpublic information with insider trading training.
Why is Insider Trading Training Important?
Employees of all levels must refrain from buying or selling stock when doing so based on material, nonpublic information. Employees must also be vigilant in protecting confidential information so they do not "tip" outsiders to trade in securities based on material, nonpublic information. Employees should learn how to recognize and prevent unlawful insider trading—and to avoid the penalties associated with it.
What Does this Insider Trading Training Course Cover?
This insider trading training course teaches employees the laws and organization policies dealing with insider trading, how to prevent it from occurring, and to whom they should report concerns or ask questions.
Employees will learn practical skills to aid them in identifying potential insider trading violations. In particular, the course teaches employees:
- To recognize that the use of material, nonpublic information to trade stock is illegal and to understand what information is considered confidential.
- To recognize when it is ethical to discuss corporate information.
- To recognize when an illegal tip takes place and the penalties for unlawful actions.
- To understand who can be held liable under anti-insider trading law.
- To apply organization policies to specific situations and report questionable behavior.
- To consider such issues regarding information as:
- Would this information influence a decision to buy or sell stock?
- Has the information already been publicly disclosed?
- Is there any obligation to keep the information confidential?
- Would sharing the information be considered an illegal "tip"?
How is the Insider Trading Training Course Information Delivered?
Through a series of scenarios and interactive exercises outlined in the Insider Trader training course, employees learn how to identify and respond to potential insider trading violations. Employees are asked to answer multiple choice questions where they consider the possible outcomes and implications of hypothetical situations. They are also required to correctly answer questions in a ‘Quiz Show’ exercise in order to complete the course. The course concludes with customized information about how to get assistance and report concerns within your organization.