Front-running, also known as insider trading, refers to the unethical practice of a broker using privileged information about an upcoming transaction to gain an advantage in trading. This can result in the broker profiting at the expense of their clients. It is considered a form of market manipulation and is strictly prohibited by regulatory bodies. Such actions can have serious consequences, including legal repercussions and loss of credibility in the financial industry. As responsible finance professionals, it is essential to understand and abide by the rules and regulations surrounding front-running to ensure fair and transparent markets for all.
