The Watchman letter: The SEC reports Corporate Insiders are Insider Trading during Stock Buy Backs.

The Corporate Executives are Selling their shares while billions in Stock Buy Backs are driving stock prices up. If a Retail Investor had insider information of a Stock Buy Back and profited from it. The Investor would be charged with Insider Trading. But the Executives are exempt from prosecution, because it is perfectly legal to sell their shares during a Stock Buy Back. It took the SEC 9 years to realize that Stock Buy Back programs would be abused by Corporate Executives for personal gains. The SEC knew that these programs could be used by CEO's to steal future profits from their companies in the 1980's when the SEC removed the Stock Buy Back Regulations. We now know why Corporations borrowed $4.5 Trillion dollars from the Bond Market to repurchase shares. Today we have Stock Valuations at nose bleed P/E levels, which eliminates futures returns to Retail Investors. The Pension Funds are holding Trillions in Corporate Bonds of which some will default as Interest Rates rise. When some of these Corporations go bankrupt the Stock Holders will get nothing and the Bond Holders will get 10 cents on the dollar.