Blizzard's Insider Trading

[Galexianight-undermine]

@Stabmcstabby-aegwynn

what’s at question here is how did Barry get this information that led to this trade days before the merger was announced publicly

Not only that but look at the amount it was. Wasn’t a couple of thousand or even a few million. It was 108 million.

[Thequixote-staghelm (Thequixote)]

@Stabmcstabby-aegwynn

Yeah well most people are saying “David Geffin and Barry Diller are not Bobby Kotic”, and that there is no connection between Barry and Bobby. Hell they might even say Barry’s trade was pure luck.

You don’t seem to understand, no one is saying Bobby probably isn’t the source. Possessing insider information isn’t a crime unless you intentionally make stock trades to profit from that information.

@Stabmcstabby-aegwynn

Sir, what’s at question here is how did Barry get this information that led to this trade days before the merger was announced publicly.

If I see a door is unlocked and say “Hey that door is unlocked” and someone else robs the place, who is guilty of robbery?

[Stabmcstabby-aegwynn]

I’m lost for words in the face of such mental gymnastics.

[Thequixote-staghelm (Thequixote)]

It’s mutual.

[Bigspanky-area-52-1447558]

@Thequixote-staghelm

@Bigspanky-area-52-1447558

Except someone buying 108 million in shares of a company

Was that someone Bobby? Bobby is responsible for what Bobby does. The people that bought shares with insider information are responsible for what they did and should get Martha Stewart’s old cell if they’re guilty.

Im not sure I explained it well enough. Bobby already owns a large chuck of Activision Blizzard stock. A lot of his income from the company comes from stock options and dividends. The better the stock does, the more money he makes and the better off he is.

Now he himself buying up a ton of stock before a merger, is one example of insider trading. Now also, him divulging the information to people, prior to the merger, to influence them into buying the stock is another form of insider trading. Even if he is not actually buying the stock. He is giving others an unfair advantage in the market, by giving them information and withholding it from others.

Now does Bobby himself benefit? Yes, in many ways. For one, he is going to stimulate a large buy into something which he holds a large number of shares in. This will increase the value of his shares, and in turn he will gain financially. The other way he would benefit is through a quid pro quo. A favor. He helps out his friends with this information and they in turn owe him a favor. Wealthy and Powerful people doing each other favors can swing entire financial markets.

To be direct and clear. Just by Bobby giving others information on a merger, before it goes public, gives those people an unfair advantage in the market and is thus insider trading.

[Helsylvan-wyrmrest-accord]

@Galexianight-undermine

Barry Diller bought 108 million in activation shares 4 days before the announcement.

I love the legal defence of it being a mere coincidence. Like, “oh, I just accidentally spent millions on the stock market and it just magically quadrupled over night. It was an accident I swear, a mere coincidence dumb luck!!”

like yea ookay

[Froufroukin-proudmoore]

Peter Griffin Who The Hell Cares?

[Thequixote-staghelm (Thequixote)]

@Bigspanky-area-52-1447558

To be direct and clear. Just by Bobby giving others information on a merger, before it goes public, gives those people an unfair advantage in the market and is thus insider trading.

Insider trading, by definition, requires the purchase or selling of securities.
https://www.investor.gov/introduction-investing/investing-basics/glossary/insider-trading

Bobby is allowed to have insider information
Bobby is allowed to give you insider information.
You are allowed to have insider information.

If you take that information and buy or sell stocks, then you are insider trading.

@Bigspanky-area-52-1447558

This will increase the value of his shares

It a CEO’s job to increase company value. That’s why companies give CEO’s stock.

@Bigspanky-area-52-1447558

The other way he would benefit is through a quid pro quo.

That may be the case and if something like that were to come out in the investigation then he should be prosecuted if he broke any laws.

But doing people favors isn’t against the law unless the favor is against the law, like getting someone a cup of coffee or helping them bury a body.

[Holyester-garithos]

So many people farming wow ( us )

[Rainsong-maelstrom]

I always assume this goes on all the time TBH. But I’m shocked that it was that blatant at a time when ATVI was/is under a microscope and the size of the deal…just seems too stupid to be true. But I have no doubt it is.

I also doubt anyone will be punished for it.