Sisäpiirikauppoja

Sisäpiirikauppoja refers to transactions involving securities made by individuals who possess non-public, material information about a company. This information is considered "inside" because it is not yet available to the general investing public and, if disclosed, would likely influence the stock price. Individuals who typically have access to such information include company executives, directors, major shareholders, and sometimes their close associates or family members.

The core issue with insider trading is that it creates an unfair advantage for those with privileged information. They can buy or sell stocks knowing the future direction of the price with a higher degree of certainty than an average investor, potentially leading to significant profits or avoidance of losses. This undermines the principle of a fair and transparent market where all participants have access to the same information.

To prevent market abuse, most jurisdictions have strict regulations against insider trading. These laws aim to protect the integrity of financial markets and ensure a level playing field for all investors. The penalties for engaging in illegal insider trading can be severe, including substantial fines and imprisonment. Companies are also often required to establish internal policies and procedures to prevent the misuse of inside information by their employees and related parties. While trading by insiders is not always illegal, it is subject to reporting requirements and restrictions to ensure compliance with regulations.