Home Speaker Mike Johnson (R-La.) expressed help Wednesday for laws that may outlaw inventory buying and selling by members of Congress.
“You need me to let you know my trustworthy opinion on it? I’m in favor of that, as a result of I don’t assume we must always have any look of impropriety right here,” Johnson informed reporters at a information convention on Capitol Hill.
“On stability, my view is we most likely ought to [ban stock trading] as a result of I feel it’s been abused prior to now,” the Home speaker famous.
“And I feel, sadly, a number of unhealthy actors, discolor it for everybody.”
Johnson had beforehand not taken a place on a possible congressional inventory buying and selling ban — a coverage that has garnered help from Home Minority Chief Hakeem Jeffries (D-NY) in addition to the hard-line conservative Home Freedom Caucus.
The controversy over whether or not members of Congress ought to be barred from buying and selling shares has grown hotter lately amid stories of plugged-in lawmakers, together with Reps. Marjorie Taylor Greene (R-Ga.) and Nancy Pelosi (D-Calif.), making main market features throughout risky durations.
On common, the portfolios of Democratic and Republican congressional lawmakers beat the S&P 500 final 12 months, in line with stock-trading watchdog Uncommon Whales.
“We see that the portfolio worth for all buying and selling Democrats ballooned by +31% and beat the market,” the group’s 2024 report on congressional buying and selling said. “In the meantime the Republican portfolio, nonetheless making features, additionally beat the market barely with 26%.”
Underneath the 2012 STOCK Act, members of Congress are banned from buying and selling on congressional insider information and compelled to reveal trades.
“We have now no tolerance for something even resembling insider buying and selling or any of this sort of benefit that anyone might take — zero tolerance for it,” Johnson mentioned, whereas noting the arguments towards passing a extra sweeping inventory buying and selling ban.
“The wage of Congress has been frozen since 2009,” he mentioned. “You understand, whenever you modify for inflation, a member of Congress right now is making 31% lower than they made in [2009].”
“It goes down yearly and over time, in the event you keep on this trajectory, you’re going to have much less certified people who find themselves keen to make the acute sacrifice to run for Congress.”
The Home speaker indicated that he has “some sympathy” to the argument that lawmakers ought to be allowed to “have interaction in some inventory buying and selling in order that they will proceed to, you already know, maintain their household.”
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