To make gains and be ahead of the masses in the stock market, I frequently say, look in places that others are not looking. Further, smart investing is about looking in the right places. It’s not about being first contrary to popular belief. The rub? You usually have to do a little more work and that doesn’t fit well with most investors these days who are after a quick profit. Monitoring company executives buying and selling their own shares is an absolute must for our firm and clients and an essential ingredient to analyze when approaching an investment.

I mean, why wouldn’t you want to buy and sell with the people who actually know what’s going on in their company? Of course you would, but the interpretation and mimicking of their stock transactions can leave you with big losses if you fail to do the analysis and just blindly do what they do. Lets clarify the concept of trading by company executives in their own shares, because it’s not always entirely obvious.

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