Insider Trading

The course provides a comprehensive overview of insider trading regulation in the United States. In addition to a thorough discussion of Rule 10B5-1 and Regulation M, the class also examines use vs. possession issues as well as court decisions and affirmative defenses. Regulatory surveillance frameworks and current legal trends are also discussed.

No sessions currently available. Contact client services to get the next available date.
Compliance staff, branch office managers, attorneys, auditors, traders, exchange personnel, and other supervisory staff
No advance preparation required.
Students will be able to:
  • Understand Rule 10B5-1
  • Define misuse of confidential information
  • Differentiate between use vs. possession of confidential information
  • Provide affirmative defenses to insider trading
  • Demonstrate familiarity with surveilance procedures and parameters
  • Discuss Regulation M
  • Understand procedures of SRO examinations and SEC oversight
A basic knowledge of compliance would be helpful.
  • Rule 10b5.1 - Trading
  • What information is material?
  • Definition of non-public information
  • Intent to deceive-scienter
  • Scienter and illicit benefit
  • Analysts' misuse of confidential
  • Use vs. possession of insider information
  • Promulgation of 10b5.1
  • The affirmative defenses allowed by Rule 10b5.1
  • Court decisions since the adoption of Rule 10b5.1
  • Big boy letters
  • SRO and SEC surveillance of insider trading
  • Surveillances
  • Insider trading/manipulation surveillance - review
  • Regulation M
  • Trends/Observations
  • Investigations and referrals to the SEC
  • SRO Examination
  • Interaction with other regulators and market participants

Clients who register for this course will receive a complimentary 6 month subscription to the Financial Times and FT.com. The Financial Times is the world's most respected financial newspaper providing a broad assessment on finance, business and the industrial sector. Subscriptions will start within 6-8 weeks of the application process, and are limited to one per client. For questions about your subscriptions call 800-628-8088 or email uscirculation@ft.com. US and Canada enrollees only.

Lunch included for all students taking day classes.