Market Abuse

Wash Trade

Definition

What is Wash Trade?

A trade or series of trades creating the appearance of activity without a genuine change in beneficial ownership.

Example in practice

The same controller buys and sells the asset between related accounts.

Keep learning

Placing orders without genuine intent to execute in order to mislead other market participants.

A form of manipulation involving multiple deceptive orders at different price levels.

Trading ahead of a known client or market-moving order to benefit from its expected price effect.

Income generated from selling goods or services before expenses are deducted.

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