In one of this month’s two Feature Articles, “Who Is Harmed by Insider Trading?”, Charles L. Hooper takes a look at insider trading. Specifically, whom does it hurt.

A key paragraph:

Insider “hurt” Uninformed Buyer by nabbing Uninformed Buyer’s unexpected and unearned windfall. How can Insider be less deserving than someone who isn’t deserving at all? Insider, after all, is making the stock market more efficient by disseminating important information, while Uninformed Buyer’s actions are equivalent to background noise.

Read the whole thing.