Front Running:
Front running is an unethical trading practice where a broker or trader uses advance knowledge of pending large orders of clients to trade ahead of them for personal profit. They execute personal trades before processing clients’ orders, taking advantage of expected price.
Front-running is commonly confused with insider trading, but they are distinct. Insider trading refers to a company insider who trades on advanced knowledge of corporate activities—for example, using their insider knowledge to buy or sell shares ahead of a major announcement.
#Economy #FrontRunning #InsiderTrading
Front running is an unethical trading practice where a broker or trader uses advance knowledge of pending large orders of clients to trade ahead of them for personal profit. They execute personal trades before processing clients’ orders, taking advantage of expected price.
Front-running is commonly confused with insider trading, but they are distinct. Insider trading refers to a company insider who trades on advanced knowledge of corporate activities—for example, using their insider knowledge to buy or sell shares ahead of a major announcement.
#Economy #FrontRunning #InsiderTrading