SEC Using New Tool to Spot Insider Trading, White Says
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U.S. regulators have developed a faster analytical tool for monitoring securities markets for evidence of insider trading and other types of misconduct, Securities and Exchange Commission Chairman Mary Jo White said today.
The agency’s National Exam Analytics Tool will allow SEC examiners to analyze millions of trades for patterns that suggest suspicious activity “in a fraction of the time it has taken in years past,” White told a securities conference in Coronado, California. The tool can compare a broker’s or investment adviser’s trades against significant events such as merger announcements, she said.