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Purchase of a security by a broker after the broker places an order for the same security for a customer. The broker hopes to profit either because of information which the customer has or because the customer's purchase is of sufficient size to affect security prices. This is an unethical practice.


The act of entering a restricted area without authorization by following a person with authorization. For example, one may enter a door immediately behind a person who has the key. The term implies that the tailgater does not have the consent of the person who has access, but this is not always the case. Tailgating is a violation of security protocol and may be a form of trespassing.


The placement of an order by a registered representative for the registered representative's own account on the basis of an order that has been received from a client. Suppose a customer calls a registered representative with an order to sell 1,000 shares of stock. If the representative sells the stock for the customer and follows it by selling additional shares of the same stock for his or her own personal account, the representative is tailgating.


When a broker places your order for a security, and then immediately places an order for his or her own account for the same security, the broker is tailgating.

Although this practice, which is also known as piggybacking, isn't illegal, it is considered unethical, because the assumption is that the broker is trying to profit from information the broker believes you have about the stock.

A broker will typically tailgate only when you buy stock in a sufficient quantity to potentially affect the price of the security.

References in periodicals archive ?
Instagate is an online direct to consumer brand that delivers innovative tailgating gear at cost effective prices.
She said she thinks that activating the radar to catch tailgating violations will not completely solve the problem, but it's better than nothing.
Over the last couple of years, tailgating has been the number three killer on UAE roads and educating drivers about its dangers is very important.
Though it was a tough time to launch any type of business, they understood that tailgating is a huge phenomenon where hundreds of thousands of men and women spend over a billion dollars each year on tailgating goods and supplies.
Second, we describe the interpretive qualitative method used to investigate the tailgating ritual.
But his status in tailgating isn't universally known or accepted.
The organisations have highlighted tailgating as the number one driver error on the UK's motorway network.
Tailgating is the last great American neighborhood and the new community social, where everyone is welcome, and no one goes hungry.
The Louisiana native stopped in Eugene this week, tailgating at Churchill High School on Friday and with Duck football fans at Autzen Stadium on Saturday.
Football games account for 52 percent of all tailgating, followed by concerts and sporting events like auto racing, according to the HPBA study.
These days, the best tailgating vehicles don't necessarily need to have a tailgate.
In addition, the survey shows that more than half (55 percent) of grill owners opt for a portable grill when tailgating, compared to 40 percent of respondents who choose to bring a full-size gas grill to the party.