Can you buy shares in the company you work for?

moneywow1

And if so, what's to stop people buying and selling based on information they hear while working there?

If you're allowed to own shares, it's only natural to want to act when you hear something, not to wait until the media gets hold of it, then act on it

kuratowski

The law - is what's to stop you (from buying and selling based on information you hear while working there)

MaxiRobriguez

You can buy shares in your own company yes, but you cannot buy/sell those shares if you know something the wider public does not, which will influence the price of shares in the future. That's called insider trading, and is illegal. 

Thrugelmir

Majority of employees don't have an insight into the inner sanctum of a company's finances. 

uknick

moneywow1 said:

And if so, what's to stop people buying and selling based on information they hear while working there?

If you're allowed to own shares, it's only natural to want to act when you hear something, not to wait until the media gets hold of it, then act on it

Go on, spill the beans, which company?

pelirocco

Well only if its a PLC , 

kinger101

You can provided you're not party to some information that might affect the share price in the future that the public are not aware of.  Many companies will tell their employers when there are blackout periods where no trading is possible, though some people at the company will have access to more information than others, so might need to take a more stringent approach.

Owning shares in the company you work for is probably not a good idea.  If the company tanks, you lose your job and your investment.  I get nominal costs share options as part of my remuneration.  I exercise and sell at them earliest opportunity and invest the money somewhere less risky.  Which happens to be near the end of the tax year, which allows my to mitigate some of the tax.