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This document is used to report changes in beneficial ownership of securities, primarily for directors, officers, and large shareholders of the company.
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FORM 4 is a regulatory filing used by insiders of publicly traded companies to report their transactions in the company's securities. This form is required under Section 16 of the Securities Exchange Act of 1934.
Insiders of publicly traded companies, which include officers, directors, and beneficial owners of more than 10% of a company's equity securities, are required to file FORM 4.
FORM 4 must be completed with the necessary identifying information about the insider, details of the transaction, including the date, nature of the transaction, and the amount of securities involved. It must then be filed electronically with the SEC through their EDGAR system.
The purpose of FORM 4 is to provide transparency in the trading activities of corporate insiders, helping to prevent insider trading and allowing investors to make informed decisions based on insiders' actions.
FORM 4 requires reporting of the insider's name, relationship to the company, the date of the transaction, the type of transaction (purchase or sale), the amount of securities involved, the price per share, and any other relevant details.
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