3 ms·

They should be allowed to go in something like an S&P 500 index fund. But personally I have blackout dates trading my own company stock why don’t they have any

They should be allowed to go in something like an S&P 500 index fund. But personally I have blackout dates trading my own company stock why don’t they have any restrictions?

nearbuy 5y ago
Investing in an index fund might even incentivize them to ensure the economy as a whole does well.
- dtech 5y ago
  Incentivizing that large public companies do well, not quite the same.
  - cpeterso 5y ago
    Then make it a total market index fund with small, mid-size, and large companies.
    - tehjoker 5y ago
      The family owned restaurant down the block is definitely listed on the stock exchange.
    - dmckeon 5y ago
      Make it 10 to 20 blind funds, each with one very broad theoretical goal: “if the country does well, the fund does well” and with different managers, management styles, investment strategies. The funds do not disclose their specific holdings publicly, but do report them to regulators. Elected officials transfer all their equity assets into one or more funds before taking office and get shares in the fund. When they leave office, they can receive the current cash value of their shares, without any capital gains tax, or can get their original contributions back, if the fund still holds them. If the country did well, the fund did well, and so do those who were elected. Optionally, make this available to all government employees at the federal, state, and local levels, and generally to individual investors.
  - kuratkull 5y ago
    Equally weighted ETFs exist. Those would give a lot more exposure to smaller companies.
    - dtech 5y ago
      I highly doubt ETFs exists or can be made that give exposure to your privately owned "mom & pop" shops, or even larger privately owned companies.
- darkwizard42 5y ago
  To be fair, it might incentivize them to prioritize overall stock growth over the more pressing issues of the populace. Mixed bag on that one I think
throwawayboise 5y ago
I'd go further and say they should be forced to put all assets other than their primary home into a blind trust for the duration of their time in office and 12 months afterwards. Might reduce people from making a career out of being a politician, but that would be a good thing. Too many cases of middle-class representatives and senators leaving office decades later as multi-millionaires. Politics should be something people do out of a sense of service, not to become wealthy.

They should be allowed to go in something like an S&P 500 index fund. But personally I have blackout dates trading my own company stock why don’t they have any restrictions?

nearbuy 5y ago

Investing in an index fund might even incentivize them to ensure the economy as a whole does well.

dtech 5y ago
Incentivizing that large public companies do well, not quite the same.
- cpeterso 5y ago
  Then make it a total market index fund with small, mid-size, and large companies.
  - tehjoker 5y ago
    The family owned restaurant down the block is definitely listed on the stock exchange.
  - dmckeon 5y ago
    Make it 10 to 20 blind funds, each with one very broad theoretical goal: “if the country does well, the fund does well” and with different managers, management styles, investment strategies. The funds do not disclose their specific holdings publicly, but do report them to regulators. Elected officials transfer all their equity assets into one or more funds before taking office and get shares in the fund. When they leave office, they can receive the current cash value of their shares, without any capital gains tax, or can get their original contributions back, if the fund still holds them. If the country did well, the fund did well, and so do those who were elected. Optionally, make this available to all government employees at the federal, state, and local levels, and generally to individual investors.
- kuratkull 5y ago
  Equally weighted ETFs exist. Those would give a lot more exposure to smaller companies.
  - dtech 5y ago
    I highly doubt ETFs exists or can be made that give exposure to your privately owned "mom & pop" shops, or even larger privately owned companies.
darkwizard42 5y ago
To be fair, it might incentivize them to prioritize overall stock growth over the more pressing issues of the populace. Mixed bag on that one I think

throwawayboise 5y ago

I'd go further and say they should be forced to put all assets other than their primary home into a blind trust for the duration of their time in office and 12 months afterwards. Might reduce people from making a career out of being a politician, but that would be a good thing. Too many cases of middle-class representatives and senators leaving office decades later as multi-millionaires. Politics should be something people do out of a sense of service, not to become wealthy.