|
PureBytes Links
Trading Reference Links
|
I think insider selling is much less important than insider buying. One must
keep in mind that, in many cases, the major source of compensation is stock
options. Therefore, insider selling can be a source of income. Also, many
insiders have a large majority of their assets in company stock and insider
selling is the result of needing to diversify. Estate planning is another
factor that must be considered.
Insider selling can be a very important investor consideration. But it
behooves the investor to determine why the selling took place and the overall
pattern the sales.
Jerry
|