Nancy Pelosi, who is intimately familiar with insider stock trading, may bring a bill to Congress making insider trading illegal for lawmakers. However, many politicians are calling out Pelosi for dragging her feet on a bill that bans congressional stock trading to a vote.T
The bill is called TRUST in Congress Bill and is backed by 60 co-sponsors, including Democrats and Republicans.
The TRUST in Congress bill states:
“To require Members of Congress and their spouses and dependent children to place certain assets into blind trusts, and for other purposes.”
The TRUST in Congress Act, which has bipartisan support, states it will force members of Congress, spouses, and dependent children’s financial investments like stocks into a blind trust, where an independent financial expert would help direct investments without the owner’s knowledge.
Rep. Abigail Spanberger (D-VA) is the bill’s sponsor and is stunned with how long it has taken Speaker of the House Nancy Pelosi (D-CA) to bring it to Congress, especially since the bill was introduced to the House on January 15, 2021.
According to Mediaite, Pelosi said last year that members of Congress should be able to trade in stock and participate in the “free market.” After the comment in December of 2021, U.S. Senator Josh Hawley (R-Mo) announced he would introduce the Banning Insider Trading in Congress Act.
Rep. Raja Krishnamoorthi, along with many other members of Congress who are fed up with lawmaker’s insider trading practices, also introduced the H.R.1579 – Ban Conflicted Trading Act in March 2021, which says
“To prohibit Members of Congress from purchasing or selling certain investments, and for other purposes.”
The Pelosi’s Very Profitable Stock Trading History
According to a report by Insider, Pelosi and her husband Paul made the vast majority of their wealth from stock trading.
As reported by the NY Post
His timing, once again, was impeccable: He executed the trades as Congress moves closer to passing tens of billions of dollars in corporate-welfare subsidies for US semiconductor production. That’s good news for Nvidia and shareholders like Paul Pelosi. Since his bet, shares have risen nearly 10%. By my math, he could have pocketed a quick $500,000.
The Hill Reported
“From a trading perspective, he’s like the real-life version of Gordon Gekko from the 1987 Oliver Stone classic “Wall Street.” His portfolio has substantially outperformed the S&P 500. In 2020 alone, a year when the stock market was as turbulent as in any year in recent memory thanks to COVID-19 shutdowns, Paul outperformed the S&P 500 by 14.3 percent, according to Hawley’s office. And per a New York Post analysis, the Pelosi’s have made approximately $30 million from trades involving Big Tech companies the House speaker is responsible for regulating.”
Congress isn’t a Stranger to Insider Trading
A New York Times article reported that
“At least 97 current members of Congress bought or sold stock, bonds or other financial assets that intersected with their congressional work or reported similar transactions by their spouse or a dependent child, an analysis by The New York Times has found.”
You can find the full list of all 97 members of Congress, here.
One Representative removed herself from an interview after the mention of insider stock trading.
Currently, lawmakers in the United States aren’t banned from making investments in companies, including ones that might be affected by their decisions.
Pelosi’s office has noted that the Speaker herself does not own any stock, however, her husband Paul does and is the one who is trading stock for profits.
Pelosi said that a vote could come this month on a compromise plan to bar lawmakers and their immediate families from trading individual stocks while in office.