Rule 10b5-1

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Rule 10b5-1

An SEC rule that allows an employee of a publicly-traded company to create a plan of when and how to sell shares in that company. The employee writes and files this plan while he/she has no nonpublic knowledge about the company. Following this plan and selling shares according to it allows the employee to sell shares without fear of being accused of insider trading, regardless of what nonpublic knowledge he/she may later come to possess.

Rule 10b5-1

An SEC rule that permits an employee to adopt a written plan to sell shares when the employee is not in possession of material nonpublic information. Shares can then be sold according to the plan on a regular basis, regardless of subsequent nonpublic information received by the employee. Also called selling plan.

Wall Street Words: An A to Z Guide to Investment Terms for Today's Investor by David L. Scott. Copyright © 2003 by Houghton Mifflin Company. Published by Houghton Mifflin Company. All rights reserved. All rights reserved.

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nonpublic information

References in periodicals archive ?

The repurchase program permits repurchases in open market or private transactions, including accelerated share repurchase transactions, block trades, or pursuant to trading plans intended to comply with SEC Rule 10b5-1. The timing, manner, price, and amount of securities to be repurchased will be determined by management at their discretion.

Blue Bird authorizes $25M stock repurchase program

Mr Montoni and Mr Caswell traded under formal plans in compliance with SEC Rule 10b5-1."

Blowing the whistle on US firm doing Tory dirty work; REAL BRITAIN

International Resource News-December 18, 2015--American DG Energy announces material completion of SEC Rule 10b5-1 share purchase plan

American DG Energy announces material completion of SEC Rule 10b5-1 share purchase plan

The company also said that its policy is not to comment on investment opinions and anonymous online posts, however Form 4s detailing Sillerman's transactions will be filed shortly with the US Securities and Exchange Commission (SEC) and additionally, he has filed a stock purchase plan under SEC Rule 10b5-1 to purchase up to another 3,000,000 shares of common stock after the release of its third quarter operating results in mid-November.

SFX Entertainment provides statements regarding share purchases by its chairman and CEO

Scripps executive team have announced plans under SEC rule 10b5-1 that will allow them to authorize stock trading plans prior to gaining insider knowledge which might otherwise prevent the trades.

Scripps execs prep for stock trades

The latter could be established as part of a SEC rule 10b5-1 plan applicable to certain high-level executives.

Challenge of success: advising corporate executives about stock options

To be sure, the adoption of the safe harbor provided by SEC Rule 10b5-1 has provided some relief.

Director's guide: personal wealth management; Tips, strategies, and tactics for directors interested in managing and growing their wealth

Underwriters may want to review the firm's insider trading policy, including its efforts to comply with SEC Rule 10b5-1, as well as procedures for complying with new accelerated reporting requirements.

New regulations' impact on D&O insurance. (D&O Insurance)

Repurchases under this stock repurchase programme may be made in open market or privately negotiated transactions and may be made pursuant to SEC Rule 10b5-1 trading plans.

Comtech's board ups annual target dividend to USD1.20; Increases stock repurchase programme to USD100m

Effective since October 2000, SEC Rule 10b5-1 provides for the establishment of a written plan for the trading of securities while the person establishing the plan is not in possession of material, non-public information.

Directors: protect your personal assets; The more personal assets you have, the greater your financial risk. What you can do to protect against creditors

In addition, Comtech's board has authorised a new USD50.0m stock repurchase programme, under which repurchases may be made in open-market or privately negotiated transactions and may be made pursuant to SEC Rule 10b5-1 trading plans.

Comtecha[euro](tm)s board declares USD0.275 per share quarterly cash dividend; Authorises new USD50m stock repurchase programme

Repurchases may be made in open-market or privately negotiated transactions and pursuant to SEC Rule 10b5-1 trading plans.

Comtech Telecommunications Corp announces dividend of USD0.275 per share and new stock repurchase plan