Dragging Politics into the Market: Top Republican Advocates for Stock Trading Ban for Congress Members Amidst Trump Debacle
Republican Party Figure Proposes Halting Stock Trading Following Customs Disarray
By Lukas Märkle
The escort ride on the Wall Street carousel continues, but not without raising eyebrows. Members of the US Congress are allowed to trade stocks, eye-catching that they must disclose their dealings, often leading to allegations of insider trading. The whirlwind surrounding Donald Trump's trade policies has evidently spurred a high-profile Republican to reconsider the status quo.
Trump's unpredictable trade policy turns the stock market into a rollercoaster. Investors are left reeling from the drops, but the swings bring gains too, some of which benefit members of Congress. take the spotlight: Trump ally Marjorie Taylor Greene. Just before trump's tariffs were suspended, the Republican bought shares worth a hefty sum. her stock portfolios soared post-maneuver, fueling skepticism and insider trading suspicions.
greene isn't alone in her stock dealing pursuits. from tech titans like apple and amazon to pharmaceuticals such as merck, greenes' stock acquisitions range from $21,000 to $315,000. Members must provide a written disclosure of their stock trading activities within 30 days, but the exact trade volume remains undisclosed.
Political Banter Green Spree: Trump Frustratee Buys Stocks Before Tariff About-Face In the aftermath, calls from both parties to ban stock trading by members of Congress escalated. "it's high-time to change the law," said Democratic minority leader in the House of Representatives Hakeem Jeffries. The Republican is now on board with this stance. "i'm pro-ban because the appearance of impropriety must be avoided," the top Republican commented on the potential tightening of rules.
Johnson has historically been coy about the subject. the house speaker's pivotal role in the legislative process, deciding which bills go to the floor for a vote, grants him crux impact.
trump too showed support for stricter rules around stock deals recently. "I'm all for it," trump declared to "Time Magazine". "if they send it to me, i'd definitely sign it," the president added when asked about a congress-passed law.
Smoke and Mirrors
trump also accused former Democratic House Speaker Nancy Pelosi of enriching herself through insider trading. the narrative is an oft-used line against Pelosi. However, trump failed to provide evidence for his claims. "speaker pelosi doesn't own any stocks," a spokesperson for the Democrat stated in response. instead, it's pelosi's husband, paul pelosi, who owns a real estate and investment firm, reportedly managing the family's stock portfolio.
pelosi disclosed numerous trade transactions in the past, but these are attributed to her husband. members of Congress must also disclose the activities of close relatives.
if house members wish, changes could move swiftly. several legislative proposals already exist to tighten the regulations, such as:
1. Compromise Legislation in Congress (Magaziner and Roy)
- a compromise bill, developed by Rep. Seth Magaziner (D-R.I.) and Rep. Chip Roy (R-Texas), among others, aims to ban members of Congress from trading stocks. the specifics, like cryptocurrency regulations, are still under discussion[1].
- the bill is supported by House Speaker Mike Johnson and House Minority Leader Hakeem Jeffries, indicating bipartisan support[1].
2. PELOSI Act (Sen. Josh Hawley)
- The Preventing Elected Leaders from Owning Securities and Investments (PELOSI) Act, reintroduced by Sen. Josh Hawley (R-Mo.), proposes a ban on lawmakers and their spouses from holding, purchasing, or selling individual stocks during their term in office[2].
- the bill allows investments in diversified mutual funds, exchange-traded funds, or U.S. Treasury bonds[2].
- non-compliance would result in forfeiting stock profits to the U.S. Treasury and facing monetary penalties[2].
3. Legislation Cosponsored by Congressman Morgan McGarvey
- Congressman Morgan McGarvey has cosponsored legislation aiming to promote public trust by banning congressional stock trading. the specifics of this legislation aren't detailed, but it aligns with other efforts to boost transparency and integrity in Congress[3].
These proposals echo growing concerns about the ethical implications of stock trading by lawmakers who may have access to non-public information.
Source: ntv.de
- Stock Trading
- Nancy Pelosi
- Donald Trump
- Insider Trading
- Stock Prices
[1] https://www.politico.com/news/2021/03/23/magaziner-compromise-bill-stock-trading-476120[2] https://www.hawley.senate.gov/news/releases/hawley-reintroduces-pelosi-act-to-ban-washington-investing[3] https://www.congress.gov/bill/117th-congress/house-bill/2144/actions
- In the aftermath of controversial stock trading allegations, there is growing interest in implementing stricter finance regulations for lawmakers, with proposals such as the Compromise Legislation in Congress, the PELOSI Act, and the legislation cosponsored by Congressman Morgan McGarville being proposed to combat insider trading and maintain employment policy integrity.
- Bipartisan efforts to address insider trading concerns are taking shape in the form of legislative proposals, with politicians actively engaging in discussions on the regulation of stocks, investments, and employment policies, particularly in regards to the stock trading activities of members of Congress and their close relatives.
