Are you an insider?

Think you would recognize an insider tip if you heard one? It's not always so black and white, as former SEC prosecutor Robert Heim of Meyers & Heim shows in the following scenarios. Test your knowledge on what makes the sharing of certain information illegal.

By Nin-Hai Tseng, writer-reporter
Score so far: 0 of 0 points
1. Nancy is a trader at a hedge fund concentrating in technology companies. She occasionally speaks to John, a former executive of a tech company who left the position two years ago. John tells Nancy that the tech firm, in which Nancy owns shares, had systemic inventory problems when he was there.

May Nancy's fund sell the shares of this technology company?
  • Yes
  • No