Mercer International, Inc.
Insider trading is a very helping signal of the future prospects of a stock. As researchers in this paper show, over longer time periods a portfolio based on insider trading can generate abnormal returns. Their portfolio based on insider purchases generated abnormal returns of 6% per year. Insiders have a special view of the inner workings of their firms. In addition, top executives are in charge of capital expenditure programs more »
Hedge funds that take a large percentage stake in public companies, or then change the size of their stake in the future (including by selling shares) file 13D or 13G documents with the SEC so that their ownership is public knowledge. At Insider Monkey, we track these filings and while investors cannot invest or divest in every position this activity can serve as a good starting point for further analysis more »