MARC Record from Library of Congress

LEADER: 01989cam a22003017a 4500
001 2011655700
003 DLC
005 20110106085331.0
007 cr |||||||||||
008 110104s2010 mau sb 000 0 eng
010 $a 2011655700
040 $aDLC$cDLC
050 00 $aHB1
100 1 $aCohen, Lauren.
245 10 $aDecoding inside information$h[electronic resource] /$cLauren Cohen, Christopher Malloy, Lukasz Pomorski.
260 $aCambridge, MA :$bNational Bureau of Economic Research,$cc2010.
490 1 $aNBER working paper series ;$vworking paper 16454
538 $aSystem requirements: Adobe Acrobat Reader.
538 $aMode of access: World Wide Web.
500 $aTitle from PDF file as viewed on 1/4/2011.
530 $aAlso available in print.
504 $aIncludes bibliographical references.
520 3 $a"Using a simple empirical strategy, we decode the information in insider trades. Exploiting the fact that insiders trade for a variety of reasons, we show that there is predictable, identifiable "routine" insider trading that is not informative for the future of firms. Stripping away these routine trades, which comprise over half the entire universe of insider trades, leaves a set of information-rich "opportunistic" trades that contains all the predictive power in the insider trading universe. A portfolio strategy that focuses solely on opportunistic insider trades yields value-weight abnormal returns of 82 basis points per month, while the abnormal returns associated with routine traders are essentially zero. Further, opportunistic trades predict future news and events at a firm level, while routine trades do not"--National Bureau of Economic Research web site.
700 1 $aMalloy, Christopher.
700 1 $aPomorski, Lukasz.
710 2 $aNational Bureau of Economic Research.
830 0 $aWorking paper series (National Bureau of Economic Research : Online) ;$vworking paper no. 16454.
856 40 $uhttp://www.nber.org/papers/w16454