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Why is illegal stock trading so rampant? The industry suggests taking multiple measures to block and build a preventive "barrier" against violations.
On January 6th, Jin Shi Data News reported that ‘the most core issue of securities practitioners’ illegal stock trading is still ‘interest-driven.’ Professor Zheng Yu from the School of International Finance and Law at East China University of Political Science and Law said that if the above-mentioned personnel come into contact with relevant undisclosed information during their work and intend to use this information for securities trading, it would be a more serious illegal act. The frequent occurrence of employee’s illegal stock trading also exposes the need to improve internal management and external constraint mechanisms in securities firms. It is understood that securities firms currently adopt methods such as regular inspections and system monitoring to strictly prevent employees from ‘crossing the red line’.