I once said that finding out what insiders do is a good way to find profitable investment opportunities. That means if insiders own a large amount of stock or options, their profits and those of shareholders are also close to each other. But, did you know that there are periods when insiders can make big profits (when the subsidiary's stock price is trading at a low price)? Do you know what insiders think about when you don't buy shares in a newly established subsidiary? Did you know that you can get a big profit when you discover these actions? Oh, all of that is true. Usually when a company publicly announces the sale of shares, a thorough negotiation takes place. The underwriter (an investment enterprise that is a state-owned company) and the company's owner will discuss and agree on the price of the shares to be sold on the market in the first announcement. . Although prices are based on a number of market factors, in most cases there is a great deal of subjectivity. The owners of the company want their shares to be sold at a high price, which will help them add more currency to the company. But the underwriter often wants a lower price. Therefore, investors and stock buyers in this initial announcement will earn a significant amount of money. (That way, the next new terms they underwrite will make it easier to sell the stock.) In any event, lengthy negotiations take place and the stock price is established. When a subsidiary is established, no discussions take place.