Fun fact: Using knowledge gained in this way isn't insider trading[1]. Conceivably a person could even sell tips based on information heard in public places to traders. During the golden age of Wall Street, this was extremely common. Traders or their lackeys would visit businesses (or the bars near them) and pump employees for info.

[1] Not a lawyer, not legal advice.

What's even wackier is that in commodities trading, insider information was allowed.

The loophole was a key plot point in the movie "Trading Places" and when the 2010 financial overhaul rules were passed, this section was nicknamed "The Eddie Murphy Rule".

https://www.npr.org/sections/money/2013/07/09/200401407/epis...

Only wacky if you think insider trading is a bad thing. There's a pretty vocal minority of economist who thinks it does more harm than good.

One of the most objective summaries I've seen is from the Federal Reserve Bank of Atlanta (1).

Subjectively: intentional or not, insider trading laws drastically protect and enhances wallstreet's information asymmetry advantage.

(1) https://www.frbatlanta.org/-/media/documents/research/public...

"insider trading" is one of funniest many exceptions to the rules of capitalism. Like someone said "The financial system works! you support companies you think will do good for profit! it's great, it will regulate itself! Only, you can only bet with bad information and we'll make great expense into regulating you are not using good info!.

It is insider trading if you get it by soliciting the information.

It is not insider trading if you get it by simply overhearing a public conversation.

It's insider trading if it's material and non-public. Solicitation has nothing to do with it.

In France, at least some authorities think it is insider trading:

https://www.bloomberg.com/opinion/articles/2019-03-29/deals-...

This is a pretty grey area. Would not recommend trading on the info.

How in the world would anyone prove that you traded on insider information that you overheard at a restaurant?

Just keep it to yourself. You might be investigated, but not a chance they will find enough to even think about prosecution.

generally speaking it seems like it is insider trading in Europe and is not in the US.

Yep. One of the first things I learned early in my careers is, when you're having lunch at a venue with your coworkers, if the subject turns to client work, do not ever mention the client's name out loud. You never know who might be sitting nearby.

So how about that fruit company’s new phone?

Yup, and I guarantee you foreign states send nosey-nellies to all these venues to do nothing but snoop on this stuff.

So, the guy at the end of the bar that everyone just passes off as the town drunk might actually just be a very cleverly disguised spy? I want that as my cover when I join a spy agency.

Usually it means you can't actually drink that much, so, watch what you wish for.