Definition Of Insider Trading In China

The stock market “insider trading” transaction is a violation of the principle of honesty and credit and the principle of even bargain. It causes great damage to the effective operation of the stock market and the order of market economy in our country. Insider trading is always the emphasis and difficulty of supervision work of the legislative, the judicial and the securities market supervision and law enforcement agencies. With the continuous development of the securities market and the social economy, Insider trading is more and more complicated. “Everbright Yang Jianbo" event is different from the general cases of insider trading and arouses the public reflection of Insider trading standards.In this paper, the basic theories such as the concept of insider trading and the theoretical basis of insider trading identified are the starting points. The Inside information, the Subject, Objective, and the subjective Elements of Insider Trading are the basic elements of the paper. Through the study of " Everbright Yang Jianbo" event as an example, I think the insider trading standards exist defects, such as the object elements is not comprehensive, the subject elements is too narrow,the subjective elements is contradictory and the exemptions is not enough. With reference USA, European Union foreign experience and the reality of our country,I put forward my own suggestions to improve and perfect the identification of insider trading in China with a little thought and references for further perfection and development.