Corporate insider trading in Europe

Aussenegg, Wolfgang, Jelic, Ranko and Ranzi, Robert (2017) Corporate insider trading in Europe. Journal of International Financial Markets, Institutions and Money. ISSN 1042-4431

[img] PDF - Accepted Version
Restricted to SRO admin only until 10 May 2018.
Available under License Creative Commons Attribution-NonCommercial No Derivatives.

Download (610kB)

Abstract

We analyse stock price behaviour around the disclosure of corporate insider transactions after the introduction of the Market Abuse Directive (MAD). Ranking according to our Insider Trading Enforcement (ITE) index highlights significant differences in the MAD enforcement between French and German legal origin countries. We document contrarian behaviour of insiders in all of the sample countries. Insiders reveal significant information to the public through both their purchases and sales. The price impact of the insiders’ transactions is particularly strong in countries with a lower ITE index (i.e. weaker public enforcement).

Item Type: Article
Schools and Departments: School of Business, Management and Economics > Business and Management
Depositing User: Joy Blake
Date Deposited: 16 May 2017 11:44
Last Modified: 20 Jun 2017 16:58
URI: http://sro.sussex.ac.uk/id/eprint/68109

View download statistics for this item

📧 Request an update