Trading Like an Executive: How to Take Advantage of Insider Information When Investing in Companies
Insider trading is a term used to describe the trading of company insiders. Company executives who invest personal money in the companies they run often have access to non-public information that gives them an edge, which is why it is highly regulated by the Securities and Exchange Commission, or the SEC. You can take advantage of inside information and apply it to your trading strategy by watching what the CEOs and CFOs of large companies are buying. The reason they buy stock is because there is a good chance this stock is going up in value. And there is nothing illegal about following the trades of those in the know.
So, why should you mimic the trades of high profile executives? Because insiders are allowed to buy and sell stock in their own companies as long as they follow the very stringent rules put into place by the SEC. You, on the other hand don't have to follow those same rules because you don't have access to insider information. In order for high ranking executives to justify making trades and making the necessary disclosures to the feds, there must be a compelling reason for them to invest. As a matter of fact, plenty of studies that have shown that inside investments generally have a very high statistical chance of success, which means that the sooner you place your buy orders the better chance you'll have of capitalizing on these successes.
So, how do you do this without going to jail?
By ordering the StockSpikes.com inside trading alerts. Subscribers of the www.stockspikes.com trading alert system are notified via email when important insiders make interesting trades that might make you a lot of cash. The software application is designed to constantly review the information being reported to the SEC and posted on the SEC website and cull out the information that might be interesting from the hundreds of thousands of other reports being filed with the SEC. It's a complex system designed to keep you connected with what is going on in the trading world without having to remain glued to the SEC website. It is designed to let you know when interesting insiders purchase stock in their own companies as soon as it happens so that you can capitalize on upward trends.
The system is free for 14 days, which allows you to take the application for a test drive. If you don't think the product provides you with a valuable service, cancel your subscription. It's that easy.
If you are interested in learning more about how the stockspike.com insider trader alert system can make you more money in less time than other trading strategies or how to subscribe to the alerts platform, please visit http://www.stockspikes.com. Here you can learn more about how the system works and what it can do for you. You can also access valuable insider trading news as well as more information on how you can further hone your legal insider trading skills.
About the Author
StockSpikes.com offers everyday traders the opportunity to trade like an insider. For more information, please visit StockSpikes
Submitted on: 2013-12-27 19:12:42