Insider Trading
SEC Compliance and Insider Trading Compliance
Insider trading occurs when an individual buys or sells a security based on confidential or proprietary information. This is a direct violation of SEC compliance rules. The SEC and FINRA consider insider trading one of its top enforcement priorities. In an effort to maintain SEC compliance, especially regarding "insider trading", compliance departments have made monitoring illegal insider trading activity a huge priority. With the Compliance11 Supervisory Suite, firms can monitor insider trading activity by systematically comparing all employee trades against a pre-established restricted list, which can be customized by group or department Compliance11's software offers a firm's compliance department a comprehensive list of reports and information that make it easy to track insider trading activity and make sure it meets SEC compliance guidelines.
Insider trading includes both legal and illegal conduct. When corporate insiders trade in their own securities and these trades are reported to the SEC or FINRA, this insider trading is legal and thus SEC compliant. Illegal insider trading generally refers to the buying or selling of securities based on nonpublic information. Compliance departments must make it a priority to consistently monitor insider trading activities among employees to confirm that they meet FINRA or SEC compliance regulations. Compliance11's software makes it easy for managers to monitor insider trading activities and confirm that they meet SEC compliance guidelines.
For more information on our insider trading SEC compliance software email us at info@Compliance11.com.