Politicians most people don't like them. Let's be honest here: they're uh they're, usually a little scummy a little dirty a little this little that and i don't like politics, but what we can talk about here today is insider trading, which has uh been something that retail investors have dabbled and we've talked about. You know we've kind of pointed out the fact that there's a major conflict of interest for those in office to be publicly trading stocks that are not indexes or etfs the difference here, meaning an individual security. You can take advantage of knowing specific information.

If you are a politician or you're in a seat in which you receive that sort of information to make very profitable trades and to beat the market exponentially right versus an etf or an index fund, which is just a compilation of the top companies in the united States such as the spy, the s p 500 you've got the nasdaq you've got the dow you've got iwm, there's a lot of different ways. You can go that route where there is no conflict of interest. Well. Today i want to talk about insider trading, because this is something that unusual wales talked about very specifically here you can see his tweet right.

I've just released the full trading report on politicians at 2021.. In short, many beat the market. I think this is a drastic uh under exaggeration, when you look at austin scott compared to the spy down here, uh they traded more than ever before, and they made numerous uh unusually time trades, resulting in huge gains. Read it here and you can see that austin's got brian mass french hill, john curtis dan crenshaw nancy pelosi.

Actually one of the most talked about politicians is only fifth on this list by the way, but there's a drastic number of politicians who beat the s. P. 500 or the spy, which is the index fund of the top 500 companies uh in the u.s security stock market right, if we dive a little bit further, we can click on this uh link. That's attached to the tweet, and you can see here - congressional trading in 2021 congress likes to trade right.

Here's a tldr if you'd like to read this i'll leave a link attached in the description box down below, but the moral of the story is very simple: congress beat the market now, there's sort of two options here right: either: a uh you've got a bunch of People in congress, who are just freaking, uh fundamental geniuses, they know how to dissect companies to the very core or perhaps their technical analysis masters. They understand how a double bottom george dabio works. They know how to get out of stocks at the exact top. They know all these sort of things right.

That's one option. The second one is they're using insider information that is likely intertwined with the jobs that they're pursuing on a day-to-day basis. Think about this right. If you are nancy pelosi - and you get information on - let's say something like i don't know nvidia, which is, she is infamous for getting the bottom of a massive bull run on before some fantastic news came out in her shoes.

She's exposed to this sort of information on a very regular basis. Oh but but but it's not me, it's my husband, it's my husband doing the trading well, that is one example of information and advantage and edge that she was granted because of the seat that she was in, in other words, a conflict of interest right, total value Of assets traded in 2021, you've got 3 500 transactions by 105 members of congress, which is absolutely disgusting. A lot of these in options. Contracts 270 plus of these were uh options.

Contracts by six members go down through this list right. I'm not gon na make this a 30 minute video, but nonetheless it's very obvious that there was uh. There was some advantage being taken here so insider trading right, let's just backtrack here, a little bit. If you were to look at insider trading for what it is, it's taking advantage of information that is not otherwise made public to the general consensus of people right so retail investors to other other people who have to wait for that fundamental news to come out.

What these insiders will do right? They release that politician, such as congress such as nancy pelosi such as uh other names, will use that get into a stock get out later and they they made more money than the average person would have. So i want to make a comparison for you, because it's illegal right, insider trading is illegal. If you were in your house and all of a sudden nancy pelosi comes knocking on your door, she says: uh, hey, hey john smith, right john you're! Really up! You left your door unlocked now, i'm gon na rob you and she takes all your belongings. She takes your tv, she takes your couch, she takes uh your moby huge.

She takes your cat right. She sells all this stuff. She makes a good profit well if she gets caught. You just have to assume she's going to to face some legal repercussions, perhaps jail time.

Perhaps some fines most likely some jail time right. Maybe at this point she's worth a lot of money, so she could buy her way out, i'm sure. But nonetheless, you get my point if she were to do that you're sitting in a spot where you know she will face legal ramifications now, let's make a comparison to the stock market, because this is the truth of the matter. The stock market in wall street.

Is you versus everybody else, and what you're trying to do is beat either a the s? P 500, if you're not going to touch index funds or any other etfs right, you're trying to beat index funds if you're not putting your money in those or you're trying to beat uh your every day. Other people right, such as nancy pelosi such as joe schmo that lives next to you on your streets such as x, such as. Why? Because, whenever you win, that means somebody else was on the wrong side of that trade. They made that transaction possible.

Sometimes it's a market maker, sometimes it's joe schmo, but as we all know, the stock market has historically been a transferring of wealth from the 99 percent to the one percent. It's a huge reason why you see this retail revolution that's taken place over the last year. Right if she is winning these insider trades, it means she's stealing from you stealing say that say it all out, because that is exactly what it is she's taking an unfair advantage information that is not otherwise made public to everybody else. To beat you it's up.

It's absolutely illegal it'd, be like uh it'd, be like if you're, if your boss decided to give the the side chick that that sucks his wiener at the end of the night, the promotion instead of you it's a conflict of interest. You shouldn't be in that situation. In the first place, where you're allowed to have even have your judgment clouded because human condition is very simple right, we've seen that there are nefarious things that people can be easily swayed and money talks, and these politicians have talked with money and gotten away with it. From a legal perspective for a very long time right well now, you've got mainstream media.

Talking about this, you've got a bunch of politicians who are coming out they're discussing their stance on insider trading on whether or not it's right or wrong. Nancy pelosi is very infamously. Touted that she believes it's a free market and everybody should trade as they'd, please, but it's very apparent that retail, the little guy kind of has these guys by the balls right now. It's a very hot topic: unusual whales, tweet viral one on joe rogan's podcast right discussed on joe rogan's podcast.

This is really a big deal and i think something that people should be very proud of and uh. It could be a step in the right direction towards getting change in our markets. The way that we really want to see things, change and i'll wrap it up with this right. We can talk all day, long about uh, wanting x stock to go up or why stock to go up, but i think you view the equation wrong right.

It's not uh! This stock goes up and that equals market change, but it seems pretty probable that market change could equal other stocks go up. You take care of problems like insider trading. You have more money that keep is kept in retail pockets. It's the butterfly effect right uh.

You stop conflict of interest, that's more money kept in retail pockets, there's there's less nefarious, acts that are taken on certain securities, such as amc and gamestop, and all the other heavily shorted stocks that exist in the stock market. Right, you get rid of uh settlement time problems more more transparency right. These are all things that collectively will make the system more operatable, more uh, more competitive and more fair right, and that's all that i think people are asking for at the end of the day. So this is nice.

This is a good step in the right direction. This does get me uh, pretty excited and uh from me and limp dong over here. I hope you all have a good one appreciate you much lovely taps. Peace.