The Directors’ Interest trading tool gives investors insight into management’s position on the future prospects of their company.
As we come to the end of reporting season, it can be useful to see how directors trade following the release of their company results.
Director share trades can often be a good indicator of the future prospects of a company, particularly if directors are purchasing stock rather than transferring options. After all, directors are investors themselves and will therefore back trades they believe will provide solid returns.
Bell Direct’s Directors’ Interest trading tool provides you with the ability to gain insight on directors’ positions on any ASX-listed security.
To access it: login to your account and go to the ‘Research & Tools’ tab and click on ‘Directors’ Interests’.
It is important to note there are often various other reasons for Directors’ trades so this should not be the sole reasoning behind your investment strategy.