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Rohan is a director of Seagreen …

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Rohan is a director of Seagreen Co. In what way, he can misuse price sensitive information for self-interest

Posted by Kanchan Baghel 5 years, 4 months ago

CBSE > Class 12 > Business Studies

1 answers

Sia ? 4 years, 6 months ago

For Example Rohan is a director and his relative or from family holds 1000 share of this company @ 20 each (total share is Rs 20000). And being a director he has the crucial information about the company related to price and he came to now that in future price of share is going to fall and will be @10 each. Therefore he recommended this information to his relative to sell those shares today and they gained Rs 10000, which would have been lost tomorrow.

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