4 ms·
The richest congress members got there through insider trading, like Nancy Pelosi's purchase of NVDA calls right before the American Semiconductor funding was a
by pants2 2y ago
The richest congress members got there through insider trading, like Nancy Pelosi's purchase of NVDA calls right before the American Semiconductor funding was announced.
Congress should be paid well - probably more than $174k per year if we want the best and the brightest. Congress should also be completely banned from any sort of individual stock trading, and closely monitored for passing insider info.
- pc86 2y agoThey simply have access to too much information. Everything they and their spouse or partner own should be in a blind trust from the time they win a primary election until they've been out of office for some set period of time, say 10 years, since the information they get especially on committees related to the treasury, commerce, and national intelligence, has impacts lasting years. It should be impossible to go from a nobody to achieving generational wealth in a decade due to legally protected insider trading. Trading is zero sum - someone sold those NVDA calls to Pelosi and lost millions. Information asymmetry just makes this legally protected theft with extra steps.
- pants2 2y agoAgreed on most points, but do know that options market makers would be hedged on that position so likely didn't lose anything significant. However, by frontrunning the market Pelosi created worse conditions for other investors.
- bhickey 2y agoLet them trade whatever they want — but publish their trades and delay execution for 48 hours.
- tracker1 2y agoYeah, 24-48 hours advance notice would be a better option IMO, then anyone could follow along. Hell, you could have funds based on congressional trades.
- pc86 2y agoThere already are multiple ETFs and other trackers that follow Congressional trades. If you use Autopilot (no affiliation) it will even update your holdings every time the targeted people change their investments.
- tracker1 2y agoBut that is still a month and a half delay, depending on how well reporting is. Likely well after what ever money making event occurs.
- bguebert 2y agoI think a company came out with ETFs for this already. Nancy Pelosi and the democrats have one called NANC and Ted Cruz and the republicans have KRUZ.
- willcipriano 2y agoThey don't have to report until months after the trade in practice (nothing happens when they do it late) and something like a month after in law.