Some Issues Of The Securities Market Insider Trading Legal Analysis

Starting from analyzing on the two high profile insider trading cases: Hang XiaoGang Gou, Huang Guang Yu, this essay is intended to explore the controversial andunreasonable regulations on prohibition of insider trading at Chinese securities andstocks market. Owning to the space constraints, this essay focuses on the issues of thesubject of insider trading, the demarcation of inside information which are embodied bythe two typical cases, among other things.Comparative analysis, a combination of empirical analysis and normative analysis,documentary analysis and other methods are adopted in the study. This essay isconstructed with the following logical structure: firstly, reviewing and dissecting thetypical cases and thus presenting the topic to be discussed further, secondly, expoundingon the demarcation of inside information and trying to solve the problems andcontroversies of the cases, then, elaborating on the definition of the subject of insidertrading, finally, the aim is pointed out and a conclusion is arrived. This essay consists offour chapters as follows:In chapter1, an analysis is made on the two typical cases: Hang Xiao Gang Gou,Huang Guang Yu and the main controversies embodied by the cases are presented.In chapter2, a dissection is conducted on the inside information and a comparison ismade between the Chinese and foreign legislations, then the features of“confidentiality” and”sensitivity” of Chinese inside information is raised, explorationis also made on the relevant controversies of the two typical cases.In chapter3, an elaboration is made on the subject of insider trading and observationis made on the foreign legislation practices, based on the case of Hang Xiao Gang Gousuch issues are expounded: those people with illegal accessibility to inside information,whether accidental hearing constitutes illegal accessibility or not, Chen Yu Xing shall bedeemed as the subject of insider trading considering his acts qualify himself as so.In chapter4, a conclusion is arrived.The main point of the essay is trying to dissect the insider trading based onexpounding on the theory and fact prongs of the typical cases. And by doing so, theproblem is more easily solved.