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Re: flipper44 post# 211781

Friday, 02/01/2019 4:41:06 PM

Friday, February 01, 2019 4:41:06 PM

Post# of 821172
I understand “insider trading”. However, what you’re positing is an unlikely scenario to prevent an entire fund to stop trading an investment, indefinitely. It just would not happen that way because there are simply too many ways to address inadvertently receiving inside information, or receiving info illegally.

1) if it is inadvertent, then the burden is not on the fund or its investors.

2) if the company told them too much by accident, that is a Reg FD issue.

3) if they came on the info through skulduggery, then not trading for the reasons you give is an admission of a potentially illegal activities and a fund would not likely threaten their entire franchise in that way... not trading is effectively an admission, in that context.

I don’t see it.

Neither scenario seems likely.
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