Insider Trading
Insider Trading
Investors Suffer from Insider Trading
Insider trading presents an adverse effect for the investors and the country at large. In this regard, it prevents the fair quantum of supply and demand for the stocks and contributes towards having an artificial increment in the stock prices, thus enticing innocent investors to buy the stocks at increased prices than that of their original value (Stefano, 2011). Consequently, soon after the purchasing of the stocks, it plunges in the market bringing about immense losses for the investors that in turn contributes to a significant dip in SENSEX value which finally weakens a country's entire economy ( ...