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Investing & Trading


Market integrity: things to consider before placing orders

Things to consider before placing orders

Before placing any trade on Stake, it's important to understand the rules around insider trading and market manipulation. These are enforceable.

Insider Trading

Do you have material non-public information (MNPI) about a company that hasn't been made public yet?

This could include:

  • Upcoming earnings announcements

  • Takeovers or mergers

  • Major contracts or financial results

Reminder: Trading while in possession of such information is illegal.

Market Manipulation

Certain trading behaviours may create a false or misleading appearance of market activity, which is prohibited. Consider the following:

Order Timing & Price Influence

  • Placing trades specifically to influence the open or close price (e.g. “marking the close”)

Volume & Frequency

  • Placing multiple orders quickly or cancelling orders frequently to simulate demand (this could be seen as “spoofing” or “layering”)

Wash Trading

  • Placing buy and sell orders for the same security with the intent to match them yourself (i.e. no real transfer of ownership)

Other Key Checks

  • Buying power: Ensure you have enough available funds or margin to support the trade.

  • Ownership thresholds: Consider whether your trade will push your holdings past any disclosure limits (e.g. 5% or more of a company’s stock).

Stake and our broker-partners monitor for irregular trading activity and may cancel, reject or report suspicious orders to regulators.


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