> STOCK Act otoh says Congress and employees have to report within 45 days
Why does advance disclosure prevent insider trading differently from post-trade disclosure? Both permit similar forms of enforcement.
Why does advance disclosure prevent insider trading differently from post-trade disclosure? Both permit similar forms of enforcement.
To me, the thing you are trying to curb is the short latency. You don't want, let's say...the head of the senate intelligence committee talking about how prepared america is for pandemics, and then turning around and selling a bunch equities. Or, calling his brother in law for less than a minute, directly after which he calls his broker.
Imo, it's the difference between, "disclose your plans, providing an opportunity for questions and looking for ethical red flags" and, "seeing the transactions after the fact, after which the people always say, 'nah, nah my guy, you got it all wrong, I already planned to make these trades, or it had nothing to do with the non-public information I had access to ;)"
Sorry, I thought the problem was corruption. Not market makers getting run over. If it’s the former, the delay is irrelevant. If it’s the latter…why?