Unlawful disclosure of inside information

Definition

unlawful disclosure of inside information arises where a person possesses inside information and discloses that information to any other person, except where the disclosure is made in the normal exercise of an employment, a profession or duties

Context

Individual may trade on their personal accounts following receipt of insider information or confidential information to front run orders.

Surveillance

Effective implementation of surveillance alerts for unlawful disclosure of inside information requires capturing the following trade data:

  • communications data

  • reference data for insider information

Reference

Black Edge: Inside Information, Dirty Money, and the Quest to Bring Down the Most Wanted Man on Wall Street

A great account of the largest insider trading investigation in the history of Wall Street.

  • Nominated for the FT/McKinsey Business Book of the Year
  • Nominated for the Carnegie Medal for Excellence in Nonfiction
  • Amazon Top 5 Business Books of 2017

Risk taxonomy

Derived risks

Regulatory source

REGULATION (EU) No 596/2014 OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL, article 10