| The essence of the insider trading behavior is fraud, insider information insider will use various means to obtain sensitive information about price before it was released to the public, If the insider information is known to use the operation of securities trading, usually get huge benefits or avoid losses. This has a negative impact on the interests of the majority of ordinary investors, the destruction of the stock market "open fair and just" principle, a serious obstacle to the development of the securities market.The high frequency of insider trading in the securities market, especially in the process of asset reorganization, the possibility of insider trading is higher because of the wide range and chain length. At the same time, the characteristics of insider trading are constantly changing. Legislative and regulatory agencies to strengthen the control of insider trading, but many of the practice of the need to be improved indeed exist, In terms of capital pricing and capital allocation, the existence of insider trading makes the difference between market price and real value more, which leads to the distortion of information, and has a negative impact on the capital allocation in the stock market. From the point of view of market efficiency, insider trading plunged the confidence of investors, make the market more volatile, even the whole securities market in some extreme cases will collapse. Therefore, how to regulate and prevent insider trading behavior has been included in the subject of national government research. In China’s securities market, insider trading is more prominent, its causes are complex, mainly including:securities market companies lack of perfect corporate governance structure, lack of perfect information disclosure mechanism. At the same time, insider trading covert and verification is extremely difficult, the amount of illegal gains larger however penalties are relatively light.Based on this, this paper aims to through the empirical analysis of the typical case of insider trading in the reorganization of assets, from the surface description of insider trading in the securities market of the cause of the current situation and the existing problems, combined with the descriptive statistical analysis over the past six years the Commission penalty of insider trading, to put forward the research conclusion and gives suggestions.Firstly on insider trading and related concepts are defined, from the concept of insider trading concept and behavior of the main body and the reorganization of assets, analysis of the characteristics of the insider trading, main features include:the profitability of objective behavior, hidden strong is not easy and transaction subject to investigate increasingly diverse. The relationship between asset reorganization and insider trading is pointed out. At the same time, it describes the market reaction caused by insider trading. It can be found that insider trading can lead to the increase of the volatility of the shares, reduce the efficiency of the market information and the damage to the fairness of the market. And introduces the theory of insider trading.Then by means of the descriptive statistics analysis of nearly six years and insider trading related to an administrative penalty notice, summed up the specific characteristics of the insider trading in capital markets, through analysis the reason of insider trading, and select the data from a typical case of relevant empirical research. And come to the conclusion that insider trading exists and is very serious in the process of asset reorganization.In the last part of the suggestions, this paper from the level of corporate governance of listed companies need strengthen, the listed company information disclosure system need improve and insider trading on the integrity of the cost needs to improve, propose to prevent insider trading related suggestions. |
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