Fed to ban policymakers from owning individual stocks
1–10 of 232 posts
Re: Fed to ban policymakers from owning individual stocks
#2Does anyone think the SEC will take similar actions against elected officials? Given there have been plenty of stories about this happening it seems like it should be up for consideration.
Re: Fed to ban policymakers from owning individual stocks
#3Does anyone think the SEC will take similar actions against elected officials? Given there have been plenty of stories about this happening it seems like it should be up for consideration.
I don't think they will, but I do think they should.
Re: Fed to ban policymakers from owning individual stocks
#4How about their relatives and more important the head of their trusts who they can just instruct or pass information to under the table. This is a great first step but I'd encourage looking behind the headline.
Also the last time there was any rule about congress insider trading they just waited until nobody was looking anymore and revoked it.
Re: Fed to ban policymakers from owning individual stocks
#5Does anyone think the SEC will take similar actions against elected officials? Given there have been plenty of stories about this happening it seems like it should be up for consideration.
I think Congress makes its own rules up there, no?
One of my Senators is pushing for an end to trading of individual stocks: https://www.npr.org/2021/09/22/1039565467/many-believe-its-t...
Re: Fed to ban policymakers from owning individual stocks
#6How about their relatives and more important the head of their trusts who they can just instruct or pass information to under the table. This is a great first step but I'd encourage looking behind the headline. Also the last time there was any rule about congress insider trading they just waited until nobody was looking anymore and revoked it.
As I understand it the STOCK Act hasn't been revoked, but members of Congress regularly ignore it and have never been punished for doing so: https://www.npr.org/2021/09/22/1039287987/outside-ethics-gro...
Re: Fed to ban policymakers from owning individual stocks
#7The relatively low salaries compared to the huge amounts of power is almost begging for insider trading, influence peddling, etc.
> The salary of a Congress member varies based on the job title of the congressman or senator. Most senators, representatives, delegates and the resident commissioner from Puerto Rico make a salary of $174,000 per year.
https://www.indeed.com/career-advice/pay-salary/congressman-...
Then again, some people have near insatiable greed and even at a $1M/year salary, some would be looking for ways to further boost their income at the boundaries of ethics, or beyond.
Re: Fed to ban policymakers from owning individual stocks
#8How about their relatives and more important the head of their trusts who they can just instruct or pass information to under the table. This is a great first step but I'd encourage looking behind the headline. Also the last time there was any rule about congress insider trading they just waited until nobody was looking anymore and revoked it.
As I understand it the STOCK Act hasn't been revoked, but members of Congress regularly ignore it and have never been punished for doing so: https://www.npr.org/2021/09/22/1039287987/outside-ethics-gro...
It wasnt technically revoked (my fault) but it was conveniently modified: https://thehill.com/policy/finance/293919-obama-signs-stock-...
Re: Fed to ban policymakers from owning individual stocks
#9Does anyone think the SEC will take similar actions against elected officials? Given there have been plenty of stories about this happening it seems like it should be up for consideration.
I don't think they will, but I do think they should.
I don't think they can. Current law in that respect does not apply to members of Congress, IIRC. Instead, Congress has decided that its members should:
1. Self-report on themselves, their spouses, their dependent children (why dependent children would be trading securities is beyond me, but OK.)
2. Be subject to a $200 fine for conflicts of interest or failure to report "in a timely manner"
3. Have the fine waived at the discretion of the House or Senate ethics committees
In other words, the rules they've applied to themselves are toothless.
Re: Fed to ban policymakers from owning individual stocks
#10How about their relatives and more important the head of their trusts who they can just instruct or pass information to under the table. This is a great first step but I'd encourage looking behind the headline. Also the last time there was any rule about congress insider trading they just waited until nobody was looking anymore and revoked it.
As I understand it the STOCK Act hasn't been revoked, but members of Congress regularly ignore it and have never been punished for doing so: https://www.npr.org/2021/09/22/1039287987/outside-ethics-gro...
It was amended and basically rendered useless.
https://www.npr.org/sections/itsallpolitics/2013/04/16/17749...