Under the securities exchange act of 1934, an issuer can sue to recover any trading profits realized by insiders for transactions in that company's stock that were initiated and closed within:__________

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27-07-2022
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Under the securities exchange act of 1934, an issuer can sue to recover any trading profits realized by insiders for transactions in that company's stock that were initiated and closed within:__________

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smecloudbird18 smecloudbird18 · Answer 1 · 2022-08-06T07:15:21+02:00

Within 6 months an issuer can sue to recover any trading profits realized by insiders for transactions in that company's stock that were initiated and closed , under 1934 Act .The 1934 Act primarily focuses on regulation of secondary trading, which takes place between brokers and dealers and other persons unaffiliated with originating corporations.

1934 Act has rules that forbid "fraudulent insider trading," which is act of someone trading securities while possessing knowledge of crucial information that is not generally known, even by parties with whom they are trading. These provisions apply to both face-to-face and anonymous stock exchange dealing.

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