The SEC Is Going Too Easy on Insider Trading

At long last, the Securities and Exchange Commission has sketched out a plan to address a difficult issue in the U.S. stock market: how and when corporate insiders, who inevitably have better information than the investing public, can legally trade in the shares of their companies.

The proposal is good, as far as it goes. But it could do a lot more to assure regular investors that insiders aren’t taking advantage of them.