Course Experts
Timothy CrudoCorporate Risk & Governance Expert
Learn to Identify Material, Non-public, Inside Information
Course Video Preview
Sharing non-public information about a company mergerCourse Description
Insider Trading is designed for corporate executives, service professionals (law, finance, accounting), and all people with access to business information that is not easily available to the general investing public. Our expert is Tim Crudo, former Assistant US Attorney in San Francisco, who was responsible for several high profile prosecutions of company executives for insider trading. This Insider Trading training course covers:- how to identify "material, non-public, inside information"
- the risk posed by expert networks
- when "advice" crosses the line into non-public "inside" information
Key Concepts
- What is "inside information?"
- Where do people get inside information?
- What is a duty of trust?
- The basics of tipping.
- How tipping happens and can lead to trouble for friends and family.
- How mishandling confidential information can lead to enterprise risk, even if the conduct does not amount to insider trading.
- The rules around trading windows.
- Information about organizational policies and restrictions.
Course Features
- Access to our Anonymous Ask the Expert tool
- Rich video scenarios based on real-world events
- Built-in employee sentiment surveys
- 50+ Machine Translation Options
- Optional program timer
- Policy acknowledgement tool
- Extensive customization options
Lessons
An Overview of Insider Trading
What Is "Inside Information"?
Sources of Inside Information
Breaching a Duty
The Basics of Tipping
Accidental Tipping
The Hot Tip
Related Offenses
Trading Windows
Summary Quiz
Reporting Questions and Policies
Post-Program Survey
What is Insider Trading training?
Insider trading training teaches employees how to identify what information is private to the business (inside information) and practices in order to prevent penalties such as getting fined or even sentenced to prison.
Relevant Courses
Complementary Microlessons
Recommended Resources
From ‘Ask the Expert’
Emtrain’s Ask the Expert feature enables users to ask questions about compliance, bias, harassment, and diversity & inclusion as they come up. It’s all confidential, and answers are sent straight to their inbox. Search the questions below and see the Experts answers.
Q
What is insider trading and why is it illegal?
Thanks for asking. Insider trading happens when someone buys or sells company stock based on material information that isn’t available to the public. It’s illegal because it gives an unfair advantage and undermines trust in the markets.
Q
What counts as “material nonpublic information” (MNPI)?
MNPI is information that hasn’t been made public yet and could influence an investor’s decision. Examples include earnings results, mergers, leadership changes, or new product launches. If the information would matter to shareholders, it’s considered material.
Q
How should I handle confidential financial information responsibly?
Keep it secure, share it only with people authorized to know, and never discuss it in public places. Always use approved company systems to store and transmit sensitive information, and avoid casual conversations about it outside of work.
Q
What happens if an employee is suspected of insider trading?
The company will investigate and may involve regulators like the SEC. Even being investigated can have serious consequences for your career. If proven, penalties can include fines, job loss, and even prison time.
Q
How does insider trading compliance protect both employees and the company?
Compliance rules give employees clear boundaries, which reduces personal risk. For companies, strong compliance programs prevent violations that could lead to regulatory fines and reputational damage.
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