CRA Insights

Insider Trading and Market Manipulation Literature Watch: Q2 2023

July 21, 2023

In the Insider Trading & Market Manipulation Literature Watch, members of our Finance Practice provide summaries and links to published research about insider trading and market manipulation. The team provides an update each quarter.

The authors’ own abstracts are included in the newsletter and are unedited. Links to the full paper are provided. The inclusion of a paper in this newsletter does not signify that CRA or any of its experts agree or disagree with the content or conclusions therein.

In this Q2 2023 edition, we include a study examining whether emphasized tone in earnings releases systematically predicts managers’ insider trading activities in the post-earnings release periods; a piece investigating the relationship between corporate venture capital (CVC) and market manipulation for NASDAQ- and NYSE-listed companies; a study utilizing a model of imperfect competition among informed traders with asymmetric information to explore the implications of AI-powered trading strategies on informed traders’ market power and price efficiency; and a paper uncovering evidence of widespread sustainability ratings manipulation by mutual funds.

Additional contributors