Business Insider reports that new evidence has been found supporting the allegation that U.S. Rep. Nancy Pelosi (D-CA) and other members of Congress are engaged in insider trading.
For those unfamiliar with insider trading, Investopedia reports:
Insider trading involves trading in a public company's stock or other securities by someone with non-public, material information about the company. Insider transactions are legal if the insider makes a trade and reports it to the Securities and Exchange Commission, but insider trading is illegal when the material information is still non-public.
The claim has been that some members of Congress - most notably Pelosi - have profited tremendously off of insider, non-public, knowledge that they have obtained as members of Congress.
Here is a recent example, reported by Fox News:
Rep. Nancy Pelosi, D-Calif., who has received widespread scrutiny over her husband's stock purchases, is making bank on another well-timed bet on a familiar corporation. The California Democrat's husband, Paul, who owns a San Francisco investment and consulting firm, scooped up between $1 million and $5 million worth of call options in computer chip company Nvidia on Nov. 22. Pelosi, however, held off on reporting the transaction until right before Christmas.
This is not a one-off situation either. Pelosi and her husband, over the years, have made millions off of the stock market.
This, in itself, of course, is not a crime.
But, it is incidents such as the Nvidia situation combined with Pelosi's unusually high rate of success that have led to insider trading claims.
Business Insider reports new evidence of alleged insider trading by Pelosi and other members of Congress.
Per the outlet:
The Unusual Whales Democratic ETF, which trades under the symbol "NANC" in a nod to former House Speaker Nancy Pelosi, has surged 30% since its launch on February 7, 2023. That compares to a gain of 24% for the S&P 500 over the same time period.
Investopedia explains what an "ETF" is.
The outlet reports:
An exchange-traded fund (ETF) is a basket of securities that trades on an exchange just like a stock does. ETF share prices fluctuate all day as the ETF is bought and sold; this is different from mutual funds, which only trade once a day after the market closes.
Business Insider reports that the particular ETF referred to above - the one that trades under NANC - "tracks the trades of Democrats in Congress and their spouses." And, as stated, it "has outperformed the broader stock market since its launch last year."
This returns us to the question of how is it that Pelosi and other members of Congress so consistently outperform the stock market. Do they just have some secret formula of success that people outside of Congress do not have? Or is it insider trading?
As of right now, we do not know the answer. But, the situation sure has raised many eyebrows, to say the least.
