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Inside Information

 

Inside information is information of the company that was not publicly disclosed. Such information is daily routine for company’s managers, finance department employees or product department employees as they always are in contact with inside information. However, employees that know non-public information must keep it confidential and do not trade stocks using such knowledge. 

 

It is illegal to use inside information for some personal benefits and it is called insider trading. Insiders of a company know such information as new-unpublished results that would signify some turnaround, acquisitions, or new product that should have huge success in the market, or maybe some R&D event that would have significant impact to the stock price. Insider tries to make a profit using such information before it gets public. 

 






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