This period of time is starting to look eerily similar to the period just before prior market meltdowns. This chart of insider buying shows the complete lack of interest by insiders in their own companies. You’ll notice that insider buying was particularly low in May ’08, July ’08, September ’08, December ’08 and January ’09 – all periods just prior to a major decline.
Mr. Roche is the Founder and Chief Investment Officer of Discipline Funds.Discipline Funds is a low fee financial advisory firm with a focus on helping people be more disciplined with their finances.
He is also the author of Pragmatic Capitalism: What Every Investor Needs to Understand About Money and Finance, Understanding the Modern Monetary System and Understanding Modern Portfolio Construction.
Yep, and not only is buying down but I believe there’s there’s been a spurt of insider selling lately too. When they’re eager to sell at these levels that’s telling. That along with the rush to issue new shares by the banks and REITs during the latter part of this rally tells you a lot, IMO.
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