10b5-1 plan
MarketsDefinition
Pre-arranged trading plan filed by corporate insiders that allows them to buy or sell company shares on a set schedule, regardless of subsequent material non-public information. Provides a legal "safe harbor" from insider trading prosecution.
2023 reforms (SEC) tightened the rules: 90-day cooling-off period for executives, mandatory disclosure of plan details. Closes some abuse loopholes.
2023 reforms (SEC) tightened the rules: 90-day cooling-off period for executives, mandatory disclosure of plan details. Closes some abuse loopholes.