A Test of the Validity of Friendly Takeover Rumors Export

@article{citeulike:4238655, abstract = {Building on the fact that corporate insiders who know that their firm is a takeover target are very unlikely to trade in their own securities, a test that can help refute or confirm takeover rumors is developed using publicly available corporate insider trading data. In sum, observable transactions by insiders tend to refute takeover rumors and the absence of such transactions (when they are expected) tend to confirm the rumors. The impact of delays in reporting by insiders and variation in rumor-period length are also discussed. A number of recent examples illustrate how the test could have refuted or confirmed takeover rumors.}, author = {Bettis, Carr}, citeulike-article-id = {4238655}, citeulike-linkout-0 = {http://dx.doi.org/10.2307/4479883}, citeulike-linkout-1 = {http://www.jstor.org/stable/4479883}, doi = {10.2307/4479883}, issn = {0015198X}, journal = {Financial Analysts Journal}, keywords = {insider-trading, insider-trading-empirical, insider-trading-legal, insider-trading-usa}, number = {6}, pages = {53--57}, posted-at = {2009-03-31 06:03:07}, priority = {2}, publisher = {CFA Institute}, title = {A Test of the Validity of Friendly Takeover Rumors}, url = {http://dx.doi.org/10.2307/4479883}, volume = {51}, year = {1995} }

TY - JOUR ID - citeulike:4238655 L3 - citeulike-article-id:4238655 N2 - Building on the fact that corporate insiders who know that their firm is a takeover target are very unlikely to trade in their own securities, a test that can help refute or confirm takeover rumors is developed using publicly available corporate insider trading data. In sum, observable transactions by insiders tend to refute takeover rumors and the absence of such transactions (when they are expected) tend to confirm the rumors. The impact of delays in reporting by insiders and variation in rumor-period length are also discussed. A number of recent examples illustrate how the test could have refuted or confirmed takeover rumors. IS - 6 JF - Financial Analysts Journal SN - 0015198X EP - 57 TI - A Test of the Validity of Friendly Takeover Rumors PB - CFA Institute VL - 51 SP - 53 KW - insider-trading KW - insider-trading-empirical KW - insider-trading-legal KW - insider-trading-usa AU - Bettis, Carr PY - 1995/// UR - http://dx.doi.org/10.2307/4479883 ER -