Series 53: Misappropriation Theory

Taken from our Series 53 - MSRB Municipal Securities Principal Qualification Exam

Definition of the term Misappropriation Theory...

a theory of insider trading which states that anyone who misappropriates (steals) information from her employer and trades on that information in any stock is guilty of insider trading. Anyone who gains insider information, knows it to be confidential, knows it must be kept confidential, and trades on it anyway is guilty of insider trading.

Since you're reading about Series 53: Misappropriation Theory, you might also be interested in:

Solomon Exam Prep Study Materials for the Series 53
Please Enable Javascript
to view this content!