SEC Says Confidential Trading Info Needs More Protection

Law360, New York (September 27, 2012, 9:32 PM EDT) -- The U.S. Securities and Exchange Commission on Thursday expressed concern over potential undetected insider trading resulting from traders and broker-dealer executives' informal interactions with people and groups that might benefit from their knowledge of nonpublic information.

In a report by the Office of Compliance Inspections and Examinations, the SEC said some broker-dealers need to strengthen their monitoring and oversight of situations that could lead to the misuse of material and confidential trading information.

"This report should help broker-dealers assess the effectiveness of their controls over sensitive...
To view the full article, register now.