Whats with this fascination with Management buying shares? Do...

Whats with this fascination with Management buying shares? Do you think management should bail out all the owners who are showing a complete lack of faith in them, with some infinite amount of capital you think a handful of individiuals are sitting on to prop up the publicly listed company THEY WORK FOR? Here's a few key reasons why you are wrong:

1. They have taken the company public so they dont have to re-mortgage their houses and put their families incomes at risk anymore to keep the company afloat, but can rely on the market.

2. If the company you work for started to have its share price falling in a HUGE BEAR MARKET CYCLE, would you start buying all of its shares "to take care of other shareholders"? Or would you let the free market do its job, focus on running the company and assume the cycle will rebound at some point.

3. There's a great study out there by the way by McKinsey that shows Management usually buy shares near the top and sell near the bottom. So I dont think its actually the indicator you think it is.

4. Management arent actually Directors of the company. So any management team at any company might buy or sell shares and no disclosure notices are required. So for all we know Management have actually been buying shares (or selling them!) and we would have no idea. For good reason, the ASX know Management teams buying and selling isnt required to be disclosed. Only Directors share movements gets disclosed.

I hold maybe shares in 65 different companies atm, pretty much all in the red, and im not expecting any Management team in any of them to bail out their share prices (most of them probably earn less than I do), because Im not a child looking for other people to blame for a market melt down.