Big Data Reveals Big Problems – Insider Selling

Dan Taylor is a tenured professor at The University of Pennsylvania Wharton School.  He created the Wharton Forensic Analytics lab which studies financial misconduct in capital markets.  Inside the lab, Dan uses big data to go across the universe of publicly traded companies to look for red flags of accounting fraud and insider trading. It primarily uses outlier detection to raise issues to the SEC in regards to anything that seems nefarious and outside of the norm. Dan dives into the undisclosed nature of 10b5-1 plans for insider share selling and how these plans can hide the true motivations of insiders.