Summary of Investment Intelligence From Insider Trading

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Investment Intelligence From Insider Trading book summary
Insider trading isn’t necessarily shady, tricky and costly. In fact, it is often legal, straightforward and lucrative.

Rating

7 Overall

7 Applicability

8 Innovation

5 Style

Recommendation

Are you ready to learn from the somewhat mythical, sometimes notorious and often misunderstood inside traders? H. Nejat Seyhun has compressed a gargantuan amount of information - 21 year’s worth of reported insider trades, more than one million transactions - into a manual that debunks and reconfigures the wild world of insider trading. Since inside traders are bound by strict laws, their prowess comes from proximity to the action. As a farmer can predict the next big storm by watching his cattle, sophisticated traders can predict the next market windfall by watching the insiders. This isn’t a late-night page-turner; after all, Seyhun is a noted academic expert. Yet flashier verbal energy might have sacrificed the book’s most valuable quality: precision. This book (the opposite of the Investing for Illiterates-type) takes its readers and itself seriously - If you are serious about your portfolio, getAbstract recommends that you put yourself through Seyhun’s course. Dedicated investors, policy makers and scholars need this on their reference shelves.

In this summary, you will learn

  • How you can profit from insider trading without stepping outside legal boundaries
  • Why you shouldn’t rely on past returns for future profits
  • Why you should have your own strategy, even though you can use inside traders’ information to improve your portfolio
 

Summary

Eliminate Your Misconceptions
Chains of negative connotation bind the term "insider trader." People who misunderstand the term - the people who buy into the negative connotation - are missing out on a tremendous investment opportunity.

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About the Author

H. Nejat Seyhun holds the Jerome B. and Eilene M. York professorship at the University of Michigan Business School, where he is chairman of the finance department. He is one of the leading academic experts on insider trading.


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