The Globe and Mail reports in its Monday, April 27, edition that insiders at Canada's largest companies have been active buyers. The Globe's David Milstead writes that in the month of March, insiders bought more than 1.8 million shares of companies in the S&P/TSX 60, spending more than $66-million. The insider buys work out to an average of 30,000 shares and about $2-million a company. By the standards of typical insider buying and selling, Mr. Milstead said it was like a modern-day bull run. Typically, shares sold by insiders on the open market outnumber shares bought by a factor of 10 to 1 or 20 to 1. In March, excluding the unusually large sales of one executive, insiders bought about 120,000 more shares than the 1.7 million they sold.
Some market observers regarded the buying activity as a positive sentiment, particularly in beaten-down industries such as energy. RBC flagged a number of companies that saw meaningful buying, led by Kelt Exploration, a Calgary company too small for either the S&P/TSX 60 or the Composite. In March a dozen directors and executives at Brookfield Asset Management and two of its publicly traded limited partnership spent more than $10-million acquiring nearly 200,000 shares.
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