There doesn’t seems to be a consensus on this. Also Investopedia
A standard used by the Securities and Exchange Commission (SEC) to determine whether someone who receives and acts on insider information (a tippee) is guilty of insider trading. The Dirks Test looks for two criteria
Whether the individual breached the company’s trust
Whether the individual did so knowingly
Tippees can be found guilty of insider trading if they know or should know that the tipper has committed a breach of fiduciary duty.
The Court held that “a duty to disclose under section 10(b) does not arise from the mere possession of nonpublic market information.” Chiarella had no “fiduciary relationship” with either company, nor was he an agent of either company, Chiarella had no duty to disclose the privileged information, and he did not receive confidential information from the targeted companies.
I think that maybe the situation is that the SEC wants insider trading to be illegal but the Supreme Court doesn’t.
There doesn’t seems to be a consensus on this. Also Investopedia
See also Chiarella v. United States:
I think that maybe the situation is that the SEC wants insider trading to be illegal but the Supreme Court doesn’t.
Okay, that seems like there’s more room for doing legal insider training.