Facebook Bans Employees From Selling Stock Shares
One of the advantages that Facebook has in being a privately held company is that they have the luxury of dictating employees from selling off shares of stock. And that’s exactly what Facebook did today.
Facebook has banned employees from selling stock on the secondary market outside specific trading windows opened by the company, in a move that comes as demand for shares of the private company continues to surge.
According to the Financial Times website, the new policy at Facebook is aimed at preventing legal messes that might ensue if a private deal went awry, according to a person close to the matter.
“Facebook has implemented an insider trading policy to better comply with insider trading laws and to protect the interests of the company and its employees and shareholders,” a Facebook representative said.
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