Thursday, August 12, 2010

Senate gets rich on insider trading...

Welcome back law review editors ... need an article? - ProfessorBainbridge.com: "2004 study of the results of stock trading by United States Senators during the 1990s found that that Senators on average beat the market by 12% a year. In sharp contrast, U.S. households on average underperformed the market by 1.4% a year and even corporate insiders on average beat the market by only about 6% a year during that period. A reasonable inference is that some Senators had access to – and were using – material nonpublic information about the companies in whose stock they trade."

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