Great news!!! Insider stock buys hit 4 year high! That’s a VERY bullish sign of recovery and our current allocation is definitely aligned to benefit from that surge.

According to the Financial Times total insider buying in the United States reached $252 million in August, the highest level since 2003. The month normally averages $186 million in such trades.

In the U.S., stock buys by management at S&P 500 banks, lenders and insurance companies hit a 12-year-high according to Bloomberg data quoted in the news report.

In the past, markets have risen about 12 months after periods of strong insider buying, according to the Financial Times.