window period

Window period

The allotted time for parties to release themselves from any obligations to a contract without penalty; the period between the filing of a registration statement of a new security with the SEC and the date that security can be issued; the period in which company employees, executives, and other insiders are allowed to trade the company's stock. See Effective date

Copyright © 2012, Campbell R. Harvey. All Rights Reserved.

Window Period

The period of time during which the SEC allows executives and certain employees to trade in stock of their own company. Window periods exist in order to prevent insider trading while also allowing executives to keep skin in the game.

Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved

window period

The time interval during which a company permits its executives and key employees to trade its stock. See also blackout period.

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.