I’m a former professional derivatives trader. Worked on Wall Street for 15 years and have worked for myself the past 8. I was 16 blocks away and that morning we were looking at what are called “unusual options” activity before market open. There was plenty in financial and airline stocks. A lot of traders look at unhedged trades placed and piggyback hedge funds and other institutions to make a killing on insider trading, which is 100% legal. If I placed 10 trades on these, one would probably hit 10-50x offsetting my losses on the ones that don’t hit. Some of the guys at the desk probably traded some of these options, but this wasn’t the big money haul. Were there insider trades taking place others piggybacked? Absolutely…and you don’t need to go across the pond to find imperial research.
Most don’t understand that the CTFC (Commodities and Futures Commission) DID NOT look for insider trading by non-members before Dodd Frank regulations, which happened after 9/11. What I’m trying to say is the traditional “equity” or “stock market” derivatives (Ie puts and calls on airline stocks for example) was child’s play compared to the commodities and futures insider trading that likely took place before the equity markets even opened. In fact, it’s likely these trades were put in place in the three months or so prior.
When they went back to investigate they came to the conclusion that it didn’t even matter because there was no one watching lol. So industry folks might be caught up (but weren’t), but the big players who weren’t insiders, yet likely politicians and say Saudi prince like folks who traded billions of dollars in futures daily would never be investigated because no one was watching and there wasn’t actual analysis even available to be done because systems weren’t in place. They knew this and have been trading this game since the commodities & futures markets opened.
I’m not sure why this is a conspiracy. It happened, there is proof - yet no one wants to truly find out because those folks were the ones who profited. You’d literally have to look into offshore trusts and foreign corporations to find all these trades and that’s never going to happen - ever. There was no reg at the time. It’s still going on to this day, but it’s a spiderweb and layered algorithm between corps and trusts to get around the alerts, which are published by the CTFC. So, if you can program your trades to effectively work around the watchdogs the game is still in tact.
I’m a former professional derivatives trader. Worked on Wall Street for 15 years and have worked for myself the past 8. I was 16 blocks away and that morning we were looking at what are called “unusual options” activity before market open. There was plenty in financial and airline stocks. A lot of traders look at unhedged trades placed and piggyback hedge funds and other institutions to make a killing on insider trading, which is 100% legal. If I placed 10 trades on these, one would probably hit 10-50x offsetting my losses on the ones that don’t hit. Some of the guys at the desk probably traded some of these options, but this wasn’t the big money haul. Were there insider trades taking place others piggybacked? Absolutely…and you don’t need to go across the pond to find imperial research.
https://www.jstor.org/stable/10.1086/503645
Most don’t understand that the CTFC (Commodities and Futures Commission) DID NOT look for insider trading by non-members before Dodd Frank regulations, which happened after 9/11. What I’m trying to say is the traditional “equity” or “stock market” derivatives (Ie puts and calls on airline stocks for example) was child’s play compared to the commodities and futures insider trading that likely took place before the equity markets even opened. In fact, it’s likely these trades were put in place in the three months or so prior.
https://citeseerx.ist.psu.edu/viewdoc/download?doi=10.1.1.734.6487&rep=rep1&type=pdf
When they went back to investigate they came to the conclusion that it didn’t even matter because there was no one watching lol. So industry folks might be caught up (but weren’t), but the big players who weren’t insiders, yet likely politicians and say Saudi prince like folks who traded billions of dollars in futures daily would never be investigated because no one was watching and there wasn’t actual analysis even available to be done because systems weren’t in place. They knew this and have been trading this game since the commodities & futures markets opened.
I’m not sure why this is a conspiracy. It happened, there is proof - yet no one wants to truly find out because those folks were the ones who profited. You’d literally have to look into offshore trusts and foreign corporations to find all these trades and that’s never going to happen - ever. There was no reg at the time. It’s still going on to this day, but it’s a spiderweb and layered algorithm between corps and trusts to get around the alerts, which are published by the CTFC. So, if you can program your trades to effectively work around the watchdogs the game is still in tact.
https://www.lw.com/thoughtLeadership/Insider-Trading-in-Commodities-Markets-An-Evolving-Enforcement-Priority