Chinese Wall


A term used to describe procedures enforced within a securities firm that separate the firm's departments to restrict access to non-public, material information, in order to avoid the illegal use of inside information. For example, if a merchant bank is advising on a planned takeover bid, its investment department should not know that the bid is taking place, or they would advise their clients to invest in the company being taken over.

Use Chinese Wall in a sentence

There was a chinese wall, but I did not know what it meant because it was too hard to handle for me.

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You may find that you are facing a chinese wall and will have to decide if it is worth finding a way to the other side.

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Tom, a stock trader at a brokerage firm, wanted to buy the company, that was about to have a new secondary issue, but new that he couldn't because his firm was in the selling group, and this he was behind the Chinese Wall.

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brought over the wall wall