It’s not often that Republicans and Democrats agree on public policy. So when they do, it should be a catalyst for reform.
“We do need to change the law so that sitting members of Congress cannot trade stock,” House Minority Leader Hakeem Jeffries (D-NY) said.
“I’m in favor of that because I don’t think we should have any appearance of impropriety here,” Speaker Mike Johnson (R-LA) said.
“If they send that to me, I would [sign it],” President Donald Trump said.
There are few things more damaging to public trust in our democracy than the perception that lawmakers are lining their own pockets at the expense of the people they serve. For years, the public has watched both Republican and Democratic members of Congress buy and sell individual stocks, sometimes right before key legislation moved or damaging reports broke. It’s not just a bad look but also a glaring ethical failure.
Research shows that members of Congress often outperform the market. Perhaps they’re just brilliant investors. Or perhaps they benefit from information that isn’t available to the public. Insider knowledge about upcoming regulations, committee decisions, industry trends, or national security developments gives elected officials a leg up in ways that an average citizen cannot hope to match. Instead of a free market, this is a rigged one.
Despite multiple attempts to rein in this practice, loopholes and lax enforcement have rendered existing rules nearly meaningless. Lawmakers are supposed to disclose trades within 45 days, but many have failed to file accurate or timely reports with little to no consequences. Even when disclosures are made, the public is often left with more questions than answers. Why was this stock bought or sold? What information was used? Was it just a coincidence?
Enough is enough. The solution is clear: Require lawmakers to divest from individual stocks or place them in a blind trust while serving in office. This is not an extreme position. In fact, it’s supported by an overwhelming majority of people. A poll by the University of Maryland found that more than 80% of voters, across party lines, support banning congressional stock trading.
Polling also shows that under a third of people approve of the job Congress is doing. Cynicism is spreading, especially among those who see Washington as a place where one set of rules is written for average people and another for the powerful. Passing a ban on congressional stock trading would be a significant step toward rebuilding the public’s faith in our institutions.
Critics of a ban argue that it’s unfair to limit how members of Congress invest their money. But public service is, and must be, different. When politicians choose to run for office, they accept a higher standard of scrutiny and sacrifice. That includes avoiding even the appearance of a conflict of interest. Besides, a ban doesn’t have to prevent lawmakers from having assets tied to the performance of the economy. They just wouldn’t be allowed to place bets on companies whose fortunes they may directly influence.
In a political system defined by gridlock, a rare window has opened. In recent months, Trump, Johnson, and Jeffries have all come out in favor of banning members of Congress from trading stocks while in office. If these three can agree on something, it means the issue is too obvious to ignore and a solution is more possible than ever.
While it is heartening to see our elected leaders express their support for a ban, what we need now is follow-through. The House and Senate must bring legislation to the floor, pass it, and make sure it includes real enforcement mechanisms — not watered-down half measures or vague promises of reform.
CONGRESSIONAL STOCK TRADING BAN FOSTERS RARE BIPARTISANSHIP
Congress must decide: Will it continue to protect the status quo that enriches the few and breeds distrust among the many? Or will it finally show the country that lawmakers are not above the rules they write?
It’s time to ban congressional stock trading — not after the midterm elections, not after the next inevitable scandal, but now. The public is watching. Our leaders are aligned. The moment is here. Let’s not waste it.
Dylan Hedtler-Gaudette is the director of government affairs at the Project on Government Oversight.