Use Of Privileged Information Research Articles

A vedação à negociação de valores mobiliários por conflito de interesses no contexto de oferta pública: reflexões sobre a interpretação e o alcance do artigo 54 da Resolução CVM nº 160/2022

This article has the purpose of analyzing the interpretation and reach of article 54 of CVM’s Resolution No. 160/2022, which establishes the prohibition of negotiation, by intermediaries, consultants and sellers, of securities of the same issuer and type as those offered in a public offering of securities. To that end, the paper examines the many changes implemented in the provision throughout the years, demonstrating that their goal was to adjust the reach of the rule to its fundamental purpose of avoiding conflict of interests and use of privileged information. The study concludes that, despite the fact that the changes already implemented in the wording of the provision have adjusted its scope and reach, new changes are necessary to address situations in which there is no relevant risk of conflict of interests or use of privileged information by consultants and intermediaries of the offering.

Real-time disruption prediction in multi-dimensional spaces leveraging diagnostic information not available at execution time

This article describes the use of privileged information to train supervised classifiers, applied for the first time to the prediction of disruptions in tokamaks. The objective consists of making predictions with real-time signals during the discharges (as usual) but after training the predictor also with any kind of data at training time that is not available during discharge execution. The latter kind of data is known as privileged information. Taking into account the limited number of foreseen real time signals for disruption prediction at the beginning of operation in JT-60SA, a predictor with a line integrated density signal and the mode lock signal as privileged information has been developed and tested with 1437 JET discharges. The success rate with positive warning time has been improved from 45.24% to 90.48% and the tardy detection rate has diminished from 50% to 8.33%. The use of privileged information in an adaptive way also provides a remarkable reduction of false alarms from 11.53% to 1.15%. The potential of the methodology, exemplified with data relevant to the beginning of JT-60SA operation, is absolutely general and can be applied to any combination of diagnostic signals.

Data, depth, and design: Learning reliable models for skin lesion analysis

Deep learning fostered a leap ahead in automated skin lesion analysis in the last two years. Those models, however, are expensive to train and difficult to parameterize. Objective: We investigate methodological issues for designing and evaluating deep learning models for skin lesion analysis. We explore ten choices faced by researchers: use of transfer learning, model architecture, train dataset, image resolution, type of data augmentation, input normalization, use of segmentation, duration of training, additional use of Support Vector Machines, and test data augmentation. Methods: We perform two full factorial experiments, for five different test datasets, resulting in 2560 exhaustive trials in our main experiment, and 1280 trials in our assessment of transfer learning. We analyze both with multi-way analyses of variance (ANOVA). We use the exhaustive trials to simulate sequential decisions and ensembles, with and without the use of privileged information from the test set. Results main experiment: Amount of train data has disproportionate influence, explaining almost half the variation in performance. Of the other factors, test data augmentation and input resolution are the most influential. Deeper models, when combined, with extra data, also help. — transfer experiment: Transfer learning is critical, its absence brings huge performance penalties. — simulations: Ensembles of models are the best option to provide reliable results with limited resources, without using privileged information and sacrificing methodological rigor. Conclusions and Significance: Advancing research on automated skin lesion analysis requires curating larger public datasets. Indirect use of privileged information from the test set to design the models is a subtle, but frequent methodological mistake that leads to overoptimistic results. Ensembles of models are a cost-effective alternative to the expensive full-factorial and to the unstable sequential designs.

An active multi-class classification using privileged information and belief function

Many classification models, based on support vector machine, have been designed so far to improve classification performance in both supervised and semi-supervised learning. One of the studies which is done in this case is about the use of privileged information that is hidden in training data. However, the challenge is how to find the privileged information. In most researches, experts have defined privileged information, but in this paper, it has been tried to automatically select a feature as privileged information and classify training data into several groups. This grouping has been used to correct the decision function of classifier. Moreover, the proposed classifier has been used in one-against-all (OAA) approach for semi-supervised datasets. To overcome uncertain areas in OAA, belief function and active learning techniques are applied to extract the most informative samples. The experimental results indicate the superiority of the proposed method among the other state-of-the-art methods in terms of classification accuracy.

On the Unethical Use of Privileged Information in Strategic Decision-Making: The Effects of Peers’ Ethicality, Perceived Cohesion, and Team Performance

In order to make strategic decisions and improve their firm’s performance, top management teams must have information on the competitive context in general, and the firm’s competitors in particular. During the decision-making process, top managers can have access to “privileged information”—i.e., information of a confidential and potentially strategic nature that could ultimately confer a decisional advantage over competing parties. However, obtaining and using privileged information in a business context is often illegal—and if not, is usually deemed unethical or “against the rules.” Using a quasi-experimental design, this study explores the reasons why an individual might engage in such unethical behavior. We assess the extent to which managers use privileged information with respect to perceived team cohesion and peers’ ethicality. More specifically, our results show that the use of privileged information is predicted by the decision-maker’s perceptions of their team cohesion and their peers’ ethicality. Moreover, we find that team performance, as a group-level nonself-reported factor (measured by the firm’s share price in our simulation), moderates the relationship between cohesion and the use of privileged information. The relationship between cohesion, ethical behavior, and team performance is also discussed. We draw on these findings to make some practical suggestions on how to incorporate practices that could better prevent the unethical use of privileged information in strategic decision-making processes.

El efecto de los mecanismos internos de control en las operaciones con información privilegiada

This paper analyzes the use of privileged information in the purchase operations of Spanish insiders and how the ownership structure affects their transactional behavior. For this, an empirical study was carried out with a sample of 2,233 purchase operations. For the calculation of the abnormal returns, the methodology of event study was applied, and for the analysis of the effect of the property structure, multiple linear regressions were used. The results provide evidence on the coexistence of control and expropriation effects of ownership concentration, the coexistence of the effects of convergence and entrenchment of the property of the insiders, and the effect of the shareholder type on abnormal returns.

The Ethics of Working as a Retained Forensic Expert

Little has been published in the forensic medical literature on the ethics of being a retained expert witness. While the legal requirements are exclusively that the individual not lie under oath, there are a broad range of behaviors that, while legal, may not be acceptable as ethical among experts, yet may be considered expected services by the attorneys who employ them. Among these are pointed critiques of other experts’ work products, information about an opposing expert's background that can be used in ad hominem attacks, and use of privileged information obtained from online sources and professional committees. In order to examine whether a disparity exists between attorneys’ expectations and experts’ own ethical standards, a survey with eight ethical vignettes and several follow-up questions was sent to both forensic experts, attorneys, and law students. The results indicate that most forensic pathology experts are unwilling to oblige attorneys who expect their retained experts to disclose damaging material about an opposing expert and change their reports when asked to remove disputed evidence. This discrepancy has the potential to create conflict between attorneys and retained experts. Strategies to address these conflicts and improve professional ethics are discussed.

Study of inhibiting factor in use of privileged information for mind inference

Study of inhibiting factor in use of privileged information for mind inference

Do pension funds managers display stock-picking and market timing ability? Evidence from the United Kingdom and Spain

ABSTRACTThis paper examines the stock-picking and market timing abilities of pension funds managers in the UK and Spanish markets, analysing their use of privileged information to implement management strategies and considering the possible effects of portfolio size. We take the analysis further by correcting benchmark omission bias. Our results reveal some degree of stock-picking ability, but perverse market timing ability, as well as incorrect use of privileged information in timing strategies. These findings are consistent with the portfolio size effect, although they are influenced by benchmark omission bias. The results obtained are very similar for both UK and Spanish pensions funds managers.

REVISIÓN DEL ÁMBITO DE APLICACIÓN SUBJETIVO Y OBJETIVO DE LA NOCIÓN DE USO DE INFORMACIÓN PRIVILEGIADA EN CHILE: UN EXAMEN DE LA NORMATIVA A LA LUZ DE LAS TENDENCIAS DOCTRINALES Y JURISPRUDENCIALES

This piece of work analyzes the scope of the objective and subjective application of the notion of the use of privileged information established in the Chilean legislation, detecting its main problems of interpretation and application. To achieve that an hermeneutical examination of said norms will be considered, as well as the existing trends in Comparative Law and the last rulings on the matter sentenced in Chile.

Preknowledge, Anticipation, and the Poetics of Job

The use of privileged information has long been recognized as a strategy in the book of Job, especially as evidenced in God’s consultation with the Satan known to the reader but hidden from Job and his friends. Such anticipatory information can only surprise the careful reader once, and must be intended to prepare the serious student for elements of interest and significance. This study investigates examples of preknowledge and anticipation employed in the poetic sections of Job and how they influence the reader’s response to the unfolding narrative and the interpretation of the final form of the text. These examples of anticipation and preknowledge suggest a more cohesive awareness of the various segments of the book than is often assumed.

Use of Privileged Information for Attorney Self-Interest

Use of Privileged Information for Attorney Self-Interest