A senior index manager at S&P Dow Jones Indices and his friend have been billed with trading on within information and facts he misappropriated from his employer, generating $900,000 in illicit revenue.
The U.S. Securities and Exchange Fee explained Yinghang “James” Yang of Flushing, N.Y., traded in the solutions of 14 corporations in between June and Oct 2019 immediately after he acquired in advance that they would be extra to or removed from one of S&P Dow Jones’ 3 indices.
The trades were allegedly executed via the brokerage account of co-conspirator Yuanbiao Chen of Corona, N.Y., a manager of a sushi cafe.
Yang was arrested on Monday in a associated felony circumstance.
“Financial industry experts and other personnel entrusted with private, marketplace-moving information and facts are prohibited from using that information and facts for individual gain,” Richard R. Ideal, director of the SEC’s New York Regional Office environment, explained