INSIDE INFORMATION Meaning and
Definition
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Inside information refers to non-public knowledge or material facts about a company or an organization that can potentially affect its stock price or financial performance. It includes confidential details regarding business strategies, financial results, mergers and acquisitions, key decisions, upcoming projects, and other critical information that can have a significant impact on an entity's operations, revenues, or market value.
Typically, inside information is available only to a limited group of individuals who have access to the confidential data through their employment or position within the company, such as executives, board members, or employees involved in decision-making processes. These individuals are obligated to keep such information confidential and not disclose or trade on it for personal benefit.
The use or disclosure of inside information for personal gain is generally considered illegal in most jurisdictions. It is known as insider trading, which involves buying or selling securities based on confidential information that is not yet available to the general public. Insider trading undermines the fairness, transparency, and integrity of financial markets, as it provides an unfair advantage to those who possess privileged information.
Regulatory bodies, such as the Securities and Exchange Commission (SEC) in the United States, closely monitor and enforce laws to prevent insider trading and protect the integrity of the financial system. Violators of insider trading laws can face severe penalties, including hefty fines, imprisonment, and reputational damage.
Common Misspellings for INSIDE INFORMATION
- unside information
- jnside information
- knside information
- onside information
- 9nside information
- 8nside information
- ibside information
- imside information
- ijside information
- ihside information
- inaide information
- inzide information
- inxide information
- indide information
- ineide information
- inwide information
- insude information
- insjde information
- inskde information
Etymology of INSIDE INFORMATION
The word "inside information" has a relatively straightforward etymology.
The term "inside" originally comes from the Old English word "innan", which means "within". Over time, this word evolved into "inside" in Middle English. It refers to the interior or the inner part of something.
The word "information" has Latin roots and comes from the word "informare" which means "to give form" or "to shape". In Late Middle English, it started being used to mean knowledge acquired or communicated concerning a particular fact or circumstance.
When these two words combine to form "inside information", it refers to knowledge or facts about a particular situation that are only known to a select few or to the people "within" a certain group. The term is commonly used to describe non-public information about a company, market, or event that can give an advantage to those who possess it.
Idioms with the word INSIDE INFORMATION
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inside information
Inside information refers to knowledge or details about a particular situation, usually financial, that are not available to the public and may give someone an unfair advantage.
Similar spelling word for INSIDE INFORMATION
