Insider trading laws do not apply to members of US Congress
May 27, 2011 10:46 AM Subscribe
posted by stbalbach (51 comments total)
18 users marked this as a favorite
laws do not apply
to members of US Congress. And it shows, an academic study
found members of House beat the market by 6% annually from 1985 to 2001, outperforming hedge funds, not to mention Raj Rajaratnam and Martha Stewart.
On the flip side, insider trading is considered against the "rules" of Congress, and thus potentially a House Ethics Committee problem, though no illegal. And, as elected officials they could get voted out of office if seen as lining their pockets. But as the data suggests, there is not much oversight and it appears to be systemic.