A Novel Insider-trading Defense? Any Defense At All

29, 2014 9:27 a.m. ET BRUSSELSThe European Union unveiled a long-delayed plan to rein in banks' proprietary trading and give supervisors the power to split off risky trading activities from safer lending operations in an effort to tackle the risks posed by banks that are deemed "too big to fail." But following pressure from the banking industry, the proposal stops far short of a forced separation of retail banks from investment banks that was advocated 15 months ago by an EU-appointed group of experts. Officials said the plan was... Source: http://online.wsj.com/news/articles/SB10001424052702303973704579350234073576464





EU Unveils Plan on Proprietary Trading



Cohen has not been charged, but SAC pleaded guilty to securities fraud in November. Cohen faces a separate SEC civil suit, which has yet to be resolved. If Martoma is convicted he could face a lengthy prison term, given the size of the alleged illegal gains. His defense strategy seems to involve three things: the suggestion that the governments prime witnesses are unreliable and dishonest; that the information Martoma allegedly got from them was already public anyway; and that Cohen, a sort of shadow defendant in the case, sold his Elan and Wyeth shares for visit the site reasons other than what Martoma told him. Yesterday a parade of witnesses, including SAC general counsel Peter Nussbaum and Cohens former research trader (and current SAC portfolio manager) Chandler Bocklage, took the stand and described the chaos of the markets in 2008 and the confusion surrounding the Elan and Wyeth trades in question. But the limitations on what they could say in a case of such tangled circumstances immediately became apparent. Source: http://www.businessweek.com/articles/2014-01-30/a-novel-insider-trading-defense-any-defense-at-all





JNJ March 7th Options Begin Trading



At Stock Options Channel , our YieldBoost formula has looked up and down the JNJ options chain for the new March 7th contracts and identified one put and one call contract of particular interest. The put contract at the $88.00 strike price has a current bid of $1.31. If an investor was to sell-to-open that put contract, they are committing to purchase the stock at $88.00, but will also collect the premium, putting the cost basis of the shares at $86.69 (before broker commissions). To an investor already interested in purchasing shares of JNJ, that could represent an attractive alternative to paying $89.30/share today. Source: http://www.forbes.com/sites/stockoptionschannel/2014/01/30/jnj-march-7th-options-begin-trading/





Trading houses dodge worst oil refining pain-Gunvor



For us refining is a strategic fit with our trading business," he said. Vitol, the world's top oil trader, has also invested in European refineries in Germany and in recent years, as it benefited from a strong inland retail network and a pivotal position in the crude oil market. Europe's refining industry has undergone a painful rationalisation. Another 2 million barrels per day (bpd) of the region's 15 million bpd capacity are expected to close over the next 5 years, according to JBC Energy. Source: http://uk.finance.yahoo.com/news/trading-houses-dodge-worst-oil-161355619.html