This study systematically examines the ability of aggregate insider trading to predict future market returns in the Chinese A-share market. After controlling for the contrarian investment strategy, aggregate executive (large shareholder) trading conducted over the past six months can predict 66%...

The first thirty companies are listed in China Nasdaq market in October 31st 2009. It means that China Nasdaq market was founded. After three months the equity control reduction became popular in these companies, even the shares are sold in discount rate of 50%. The paper investigates the...