Can you amend a Form 4?
When filing an amended Form 4, there is no need to restate the original Form 4 in its entirety. If a grant is inadvertently reported twice, removing the duplicate can be done by filing an amended Form 4 with the correct details of the grant along with a footnote clarifying that the grant was originally reported twice.
What triggers a Form 4 filing?
In most cases, when an insider executes a transaction, he or she must file a Form 4. Form 4 must be filed within two business days following the transaction date. Transactions in a company’s common stock as well as derivative securities, such as options, warrants, and convertible securities, are reported on the form.
Is a SEC Form 4 GOOD OR BAD?
Using Form 4 can help you determine any transactions that management is making regarding their stock options. Unlike the 10-k, 10-q, or 8-k the Form 4 is not as well known but can provide valuable insights once you know where to look.
What does SEC Form 4 tell you?
Form 4 is a two-page document, which covers any buy-and-sell orders, as well as the exercise of company stock options. Options are contracts that give the holder the right, but not the obligation to buy or sell a stock at a certain price, and by a specific date.
What does Code M mean on Form 4?
M – Exercise or conversion of derivative security exempted pursuant to Rule 16b-3. Derivative Securities Codes (Except for transactions exempted pursuant to Rule 16b-3) C – Conversion of derivative security. E – Expiration of short derivative position.
What is a Section 16 filer?
Section 16 imposes filing standards for “insiders,” and defines insiders as any officers, directors, or stockholders who possess stock that directly or indirectly results in beneficial ownership of more than 10% of the company’s common stock or other class of equity.
What is Code F in Form 4?
F – Payment of exercise price or tax liability by delivering or withholding securities. I – Discretionary transaction, which is an order to the broker to execute the transaction at the best possible price. M – Exercise or conversion of derivative security.
What is the difference between Form 3 and Form 4?
Form 3 is the initial report to be filed by a Section 16 reporting person (e.g. a senior executive). Form 4 is used for the required reporting of changes in company stock ownership. You must file Form 4 before the end of the second business day after the day on which the related transaction took place.