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Form 4 report is a disclosure report filed with the Securities and Exchange Commission (SEC) by company insiders who have made company stock transactions.
Insiders such as corporate officers, directors, and beneficial owners of more than 10% of a company's stock are required to file Form 4 report.
Form 4 report can be filled out electronically through the SEC's EDGAR system. It requires the disclosure of the insider's personal information, details of the transaction, and any related derivative securities.
The purpose of Form 4 report is to provide transparency and inform the public about insider trading activities, allowing investors to make more informed decisions.
Form 4 report requires the reporting of the insider's name, relationship to the company, details of the security, date of transaction, nature of ownership, and any related transactions.
The deadline to file Form 4 report in 2023 is within 2 business days after the date of the transaction.
The penalty for the late filing of Form 4 report can range from monetary fines imposed by the SEC to legal consequences depending on the severity and intent of the violation.
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