Definition
Tipper Definition
A tipper is someone who has access to material, non-public information (MNPI) regarding a security, company, or industry. This information can be obtained through various sources, such as private conversations, insider knowledge, or having a privileged position within an organization. The tipper then provides this MNPI to an outside source, such as a broker, trader, or investor, who uses it to make an illegal trade. The tipper is also guilty of insider trading if they benefit from the trade.
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