On Brazilian Insider Trading: Determinants and Informational Effects

Q3 Business, Management and Accounting

Latin American Business Review Pub Date : 2020-01-07 DOI:10.1080/10978526.2019.1709073

Lucas N. C. Vasconcelos, Orleans Silva Martins

引用次数: 0

Abstract

Abstract We investigate the determinants of insider trading and its effects on the levels of stock price informativeness in Brazil. We use corporate insider trading data for companies included in the IBrX-100 index between December 2016 and June 2018. In our standard sample, our findings indicate that insiders tend to trade in high liquidity months, and this behavior hampers the detection of adverse selection. Also, insider trading seems to be irrelevant to efficiency. Our study indicates that greater trading transparency is essential for outsiders to increase market efficiency since trading alone does not provide such a scenario. We suggest caution in the use of low-frequency liquidity measures for adverse selection detection in this market.

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论巴西内幕交易：决定因素与信息效应

摘要我们研究了内幕交易的决定因素及其对巴西股价信息水平的影响。我们使用2016年12月至2018年6月期间纳入IBrX-100指数的公司内幕交易数据。在我们的标准样本中，我们的研究结果表明，内部人士倾向于在流动性高的月份进行交易，这种行为阻碍了逆向选择的检测。此外，内幕交易似乎与效率无关。我们的研究表明，提高交易透明度对于外部人士提高市场效率至关重要，因为单凭交易并不能提供这种情况。我们建议在该市场中谨慎使用低频流动性指标进行逆向选择检测。

本文章由计算机程序翻译，如有差异，请以英文原文为准。

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来源期刊

Latin American Business Review Business, Management and Accounting-Business and International Management

CiteScore

2.40

自引率

0.00%

发文量

期刊介绍： Latin American Business Review is a quarterly, refereed journal which facilitates the exchange of information and new ideas between academics, business practitioners, public policymakers, and those in the international development community. Special features of the journal will keep you current on various teaching, research, and information sources. These activities all focus on the business and economic environment of the diverse and dynamic countries of the Americas.