Thread replies: 8
Thread images: 1
Thread images: 1
Anonymous
How to insider trade? 2017-06-13 07:11:59 Post No. 2431527
[Report] Image search: [Google]
How to insider trade? 2017-06-13 07:11:59 Post No. 2431527
[Report] Image search: [Google]
File: maxresdefault.jpg (131KB, 1280x720px) Image search:
[Google]
131KB, 1280x720px
Say you're working in a corporation. Not in a cool area like M&A or Portfolio Management where you'd be privy to really fascinating investing information, but just in a general role like sales or procurement.
How could you profit form insider trading?
You sometimes hear about things that are happening with customers, projects or suppliers. The chance that any one action or project will have such a significant impact on the stock or balance sheet of your company is very low. So what do? What things would you look at and look out for to profit from them? The customer side, say some small company that you think will profit from your project? Or a supplier, which you know will increase business with your business and thus make more money?
I just can't seem to notice or get creative about profiting from knowledge
>>
bump
stop fapping to bitcoins
>>
You need some real info like m&a deals. Then you can make money.
>>
>>2431527
There was a guy on here a while ago who was in a boring ops role that somehow knew fitbit or some wearable was going to CRUSH their quarterly sales estimates as he had exposure to their data professionally.
You can reasonably predict that this will spike their share price.
So you buy short term options on the shares.
Another example; say you work in procurement for Apple and you know they're planning on switching the chipset for the iPhone 8 to a new, small manufacturer. This would quadruple or quintuple their business overnight. It would be lucrative to buy shares before the market knows that.
However, both of these things are illegal.
>>
>>2432170
>However, both of these things are illegal.
OF COURSH!
But say you know of a project happening for a customer company. You predict that the successful project will help that customer company save money. You also know for sure that this customer company is doing the project because it's expanding its production capacity. Couldn't you tell a friend of yours to buy shares in that customer company, anticipating that when both things are finished the stocks will rise and there will be literally 0 way to trace it back to you?
>>
>>2432252
nobody will give a shit if you do it with a few thousand. go ahead. they wont catch you. I did it myself while interning in M&A.
>>
>>2432252
Probably happens all the time, but we don't hear about it because it's illegal. The way financial regulation works is reactionary. If the public gets upset about something the government acts if they think they can nail you. So then it would all just be about connections, lots of people probably know information about the companies inner dealings they just don't have an interest in trading, you can find/follow those people and see what they are doing or worried about and go from there.
>>
>>2432395
Yeah I bet the real insider trader high rollers instantly invest more than 50k on a simple one way trade which are very close to the actual event that is about to happen. If you invest in a company which has minimal relation to your own company, a smaller amount, through a friend, and the hopeful event is some time in the future, it should be impossible to trace it back to you. All evidence would be circumstantial
Thread posts: 8
Thread images: 1
Thread images: 1