Short sellers and insider trading profitability: A natural experiment

• المؤلفون الرئيسيون: CHEN, Xia, CHENG, Qiang, LUO, Ting, YUE, Heng
• التنسيق: text
• اللغة: English
• منشور في: Institutional Knowledge at Singapore Management University 2022
• الموضوعات: Short sellers; Insider trading; Government regulation; Accounting; Portfolio and Security Analysis
• الوصول للمادة أونلاين: https://ink.library.smu.edu.sg/soa_research/1936; https://ink.library.smu.edu.sg/context/soa_research/article/2963/viewcontent/Short_sellers.pdf

We examine the impact of short sellers on insider trading profitability using a natural experiment of a pilot program which relaxed short-selling constraints for randomly selected pilot stocks. We find that pilot firms experienced a significant decrease in insider trading profitability during the pi...