Former Speaker Nancy Pelosi’s Stock Trades Earned A 65% Return In ’23 Sparking Moves To Ban Lawmakers From Trading

According to recent reports, former Speaker of the House Nancy Pelosi received a 65% return on her investments in 2023, exceeding the overall market performance by a wide margin. That is over double the S&P 500’s overall 24% gain.

Her portfolio dropped to 19.8% in 2022 after she announced a sale of 25,000 shares of Nvidia.

The New York Post reported in December that Pelosi bought back approximately 50 call options worth $2 million in the company towards the end of 2023, according to securities filings.

There is no suggestion that Pelosi did anything illegal with her trades.

She profited from Nvidia’s valuation surpassing $1 trillion and owns millions of dollars worth of Microsoft and Apple stock, which have risen around 55% this year.

Her gains in Nvidia are due to the success of artificial intelligence.

Following these reports, her fellow Democrats have called for a ban on stock trades by members of Congress. The ban has bipartisan support on Capitol Hill.

Other members, including Sen. Josh Hawley (R-Missouri), were also in favor of the ban. Hawley even introduced The Preventing Elected Leaders from Owning Securities and Investments (PELOSI) Act in 2023, though it has yet to pass.

Members who engage in stock trades have been accused of having an unfair advantage by using insider knowledge of proposed or planned legislation that could affect stock prices.

Many Americans also support the ban after reports revealed that lawmakers regularly trade stocks directly related to their work in Congress.

Pelosi initially defended the practice but later changed her position. In September, she supported a bill that would ban congressional stock trades.

She and her husband, Paul Pelosi, own multiple properties, including a $2.6 million condo in Washington D.C.’s upscale Georgetown district.

She also owns a $6 million home in San Francisco, which she bought for $2.2 million in 2007. They also own a 65-acre wine estate in the same city, worth between $5 to $25 million. Annually, Pelosi makes $15,000 from grape sales.

She is one of the wealthiest members in Congress, with a combined net worth of over $46 million with her husband.

Despite claiming not to discuss stocks with her businessman husband, a documentary by her daughter, Alexandra Pelosi, revealed otherwise. The film showed the congresswoman frequently conducting business with her husband present on the phone.

According to an Unusual Whales study, only eight Congress members earned higher investment returns than the S&P 500, with only a third outperforming it.

Rep. Brian Higgins (D-New York) saw a 238% return, higher than everyone else in Congress. Like Pelosi, he also invested in Nvidia back in 2021.

Democrats averaged returns of 31%, higher than Republicans.

Members of Congress can trade stocks freely but must report transactions and are prohibited from using non-public information for trading. The penalty for violations is $200.

In 2023, Send. Kirsten Gillibrand (D-New York) and Hawley introduced a law called the Ban Stock Trading for Government Officials Act. This law will stop Congress members, the president, the vice president, White House officials, and their relatives from trading stocks. Since 2012, the STOCK Act has required Congress members to report any stock transactions over $1,000 within 45 days and follow the rules about insider trading.