"Investor spoofing" occurs when firms take actions at the end of their fiscal year (or sometimes toward the end of a quarter) to make themselves appear to be more profitable or financially healthy.

Question

Quizplus · Accepted Answer

"Investor spoofing" refers to a deceptive practice in trading where a trader places large orders with no intention of executing them, to create a false impression of demand or supply, influencing the price of a security. The description given relates more closely to practices like "earnings management" or "window dressing."

"Investor Spoofing" Occurs When Firms Take Actions at the End