Insider-Activity#31tier 1live in production

`insider form4`

cadence: Dailydata: mediumlong only

Mechanism

Lakonishok-Lee 2001, Cohen-Malloy-Pomorski 2012: corroborated insider **purchases** (Form 4 transaction_code='P') from multiple insiders within a short window are the single most-predictive insider signal — ~6%/year alpha over 6-12 months. Single-insider buys are noisy; cluster buys (3+ distinct insiders, or a single buy > $1M from CEO/CFO) are

Signal rule

≥3 distinct insider buys (Form 4 code='P') in 30d OR single CEO/CFO buy > $500k

Data dependencies

sec_insider_trades
Form-4 insider transactions with role, size, and trade direction.
sec_form4_archive
Worker data table — see services/worker schema.

Expected edge

~6%/yr alpha for cluster buys; 82bps/mo when filtered for opportunistic insiders

Illustrative pattern only

NOT a backtest

Illustrative pattern only — see /app for live backtests and the actual current equity curve.

Example tickers where this is likely to fire

JPM WFC CMA

Illustrative only — the signal fires based on the live data, not a fixed list.

Related families

short interest changeShort-Flow

Two complementary readings of FINRA's daily short-sale

borrow rate spikeShort-Flow

When the cost to borrow a stock spikes, it

Explore `insider form4` on alphactor.ai

See which tickers this family is currently firing on, with live signals and rankings.

Open universe with this filter →Browse all 87 families

insider form4