We investigate the dynamics of informed trading both before and after corporate bankruptcy announcements using high frequency data. Our findings reveal that pre-announcement informed selling attenuates subsequent announcement returns, with this effect being weaker for firms receiving extensive pre-announcement media coverage or adverse news sentiment. We also find that post-announcement informed trading can serve as a predictor of subsequent bankruptcy outcomes. Overall, results are consistent with there being material information leakage, warranting policy efforts to better safeguard less informed investors.

中文翻译：

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围绕公司破产的知情交易的动态

我们使用高频数据调查公司破产公告前后的知情交易动态。我们的研究结果表明，公告前知情抛售会削弱随后的公告回报，对于收到广泛的公告前媒体报道或负面新闻情绪的公司来说，这种影响较弱。我们还发现，公告后知情交易可以作为后续破产结果的预测指标。总体而言，结果与存在重大信息泄露的情况一致，需要采取政策措施来更好地保护消息灵通的投资者。