In recent months, the trading activities of U.S. Congress members have been closely examined, particularly figures like former House Speaker Nancy Pelosi, who have seen significant profits. Despite controversy surrounding insider trading concerns, the stocks traded by Congress members have generally been successful.
Earlier this year, Finbold revealed that tech giants were the top choice for most Congress members’ portfolios, with Apple, Microsoft, and Palo Alto Networks leading the way. Given the allegations of insider trading, it may be wise for investors to mimic the trading habits of elected officials.
Investors who followed Congress members’ stock picks at the start of the year would have seen profitable returns, as all three companies are currently in positive territory. For example, a $1,000 investment in Apple would now be worth $1,154.30 due to a 15.43% increase in value.
Microsoft has performed even better with a 20.53% year-to-date gain, while Palo Alto Networks has seen a respectable 9.73% increase. Notably, Pelosi’s investment in PANW call options stirred up debate about ethical standards for politicians involved in stock trading.
Diversifying investments equally among the three preferred stocks would have yielded a solid 15.22% overall increase in value, outperforming many traditional investment options. Following Congress members’ stock trading patterns has proven to be a profitable strategy for investors.
