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Congress’ Investment Advantage in the Markets

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  • Description

    FBN’s Gerri Willis on Congress’ exemption from insider-trading laws.

  • Duration 2:04
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Best case scenario there's been an uneven playing field when it comes to congress and you and me an insider trading -- If you're I've bought or sold stocks using information that wasn't meant to be public something only -- an insider would have we would be guilty of the crime.

Not so our elected officials as we've been telling you now for more than a year congress is exempt from insider trading laws so.

In addition to their better retirement benefits and health care at insider trading -- to the list of congressional perks.

And they take advantage of -- one recent study shows Democrats portfolios.

Outperform the market by a whopping 9%.

Republicans beat the market to -- not as much so.

And don't tell me it's because our elected officials are smarter than we are I'm not buying that one.

Thanks -- personal when a new study actually pointed fingers at congressional leaders Nancy Pelosi and John Boehner among them.

As benefiting from -- hear no evil see no evil rule.

Now most of -- cheered when congress re introduced a lot of have been languishing for years called the stop trading on congressional knowledge or stock act.

It seem like a good thing in all the major good government groups climbed on board supporting the measure the some -- foundation democracy 21 public citizen.

And yet today Yale professor Jonathan Macey writing in the Wall Street Journal says even this law.

Leaves gaps and loopholes large enough to drive a truck through.

He says that unlike the rules applying to most Americans a loss for congressional leaders are too narrow.

The rule also law would put in place would only apply to information related to pending legislation.

-- that the congresswoman our congress man guidance insider information during say -- regulatory briefing that wouldn't be covered.

Bottom line the stock act wouldn't prevent insider trading by congress.

May make you more common because it would make the rules clear about when congressional members can trade on inside information and when they can't.

I believe congress should be held to a more strict standard the same standard at the very latest UN higher held TO.

We got it even the playing field congress.

And that.

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