RE: Insider Trading Law for your info.I'm quite confident in NAG. Personally, I can understand Bruce Lock exercising and selling - - this sort of thing happens all the time in TSX-V companies. Directors usually don't draw salaries (which would be cash outflows for companies that are usually not cash-rich), so they use options as incentives and compensation.
The problem usually arises as a result of the coincidence of two factors: asymmetric information and investor perceptions.
We, the passive shareholders, do not know what is really going on inside the business and management does. We read press releases, analyst reports, etc. to try and gauge how well the company is doing and what its prospects for growth are. One such indicator is often insider trading (including the legitimate insider trades).
Unfortunately, when insiders engage in selling, we the investors perceive that to mean that insiders are not very optimistic about the company's future - otherwise, why wouldn't they be holding on to those shares...?
Bruce's selling might just be a result of his desire to 'earn compensation' from his involvement. He needs to eat, afterall.
However, NAG (and other companies) can avoid the possibility of creating creating negative signals by insider trading through creating and enforcing a policy that requires selling for income/compensation to be done according to a predetermined and preannounced schedule. Google insiders did this, declaring that they would sell shares according to a predetermined schedule in order to diversify their financial holdings, and in doing so avoided setting of warning signs to the market that they didn't have faith in the company.
In practice, for companies like NAG this is much more difficult to do because of the volatility of the stock prices. While NAG has not adopted such a policy, as one poster noted, Bruce's selling appears to be regular, and in consistent patterns, indicating selling for income rather than selling because of lack of faith.
If you're still not satisfied, and think Bruce's selling is a bearish signal, then contact the company and voice your concerns, and speak with your vote at the next shareholders meeting.
Personally, I think Charles and Bruce have done well to make me a very good return on my money thus far, and while I do hope for much more spectacular things in the future, I'm not at all displeased or worried at this point.
WOW, sorry for the rant.