Tailgating


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Tailgating

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.

Tailgating

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.

tailgating

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.

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 ?
Dubai: Tailgating on the roads is not a rare sight in the UAE, and despite repeated warnings by police, motorists continue this kind of dangerous behavior.
For tailgaters and IU fans Darrell and Shelly Deem, their setup has developed over years of tailgating with family and friends into a truly luxurious spread designed to allow as much fun as possible while limiting the work necessary on the hosts' part to throw the party.
Sail-gating" makes Washington a tailgating scene like no other, as hundreds of boats carrying thousands of fans across the lake every game day.
Tailgating caused 26 deaths in 2014 in Dubai, and 11 deaths between January and May this year.
The name Mike Golic is synonymous with football games and with the tailgating experience in general," said Cantor.
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.
based Sealed Air/Cryovac, which supplies packaging materials for a variety of meat and poultry products, underscores the one-upmanship of tailgating.
Tailgating strategies are easy to retrofit and complement most existing security systems.
Consistent with Rook's (1985) definition of ritual, football tailgating is a consumption driven ritual in that it is "a type of symbolic, expressive activity constructed of multiple behaviors that occur in a fixed, episodic sequence, and that tend to be repeated over time.
Baker said the tailgating trailer brings convenience to the party.
Maggie Game, head of car insurance at Direct Line, which is part of RBS Insurance, said: "Drivers need to understand that the increased stress caused as a result of tailgating can lead to volatile situations on the road and that tailgating is responsible for approximately 7% of accidents in the UK.
Tailgating - or "following too close" - was a contributory factor for at least 54 deaths in 2006, with research showing motorways are a particular hotspot for this problem.