Lawmakers would get to hold onto their stocks under a new GOP-backed trading ban bill

"The bill, set to be introduced on Monday by Republican Rep. Bryan Steil of Wisconsin, would prevent members of Congress, their spouses, and their dependent children from buying new stocks and require them to give at least seven days' notice for any sale. "The American people deserve to know that their members of Congress is not profiting off of insider information," Steil said in a video announcing the bill. "If you want to day trade, go to Wall Street.""

"The bill would also allow lawmakers to hold onto their existing stock holdings. That aligns with what House Speaker Mike Johnson said last month, when he suggested that forcing people to sell their stocks could deter financially successful individuals from serving in Congress. As with other proposals, the new bill would still allow lawmakers to trade in diversified funds, such as mutual funds and ETFs. The penalty for violating the new law would be $2,000 or 10% of the value of the transaction, whichever is higher."

A GOP-backed bill would ban members of Congress, their spouses, and dependent children from buying new individual stocks and require at least seven days' notice before any sale. The measure would allow lawmakers to retain existing stock holdings and to trade in diversified funds such as mutual funds and ETFs. The bill would impose penalties of $2,000 or 10% of the transaction value, whichever is higher, for violations. Supporters say the measure prevents profiting from insider information while preserving access for financially successful candidates. Critics warn continued ownership may not eliminate conflicts of interest.

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