I’m extremely concerned about a 1% decline in the tech-heavy NASDAQ index tonight. Why this sudden worry? Because it could do a lot of damage to Nancy Pelosi’s near-perfect investment track record.
You may have read that a website has already nominated her for Wall Street Trader of the Year 2021. In fact, if you read jacobinmag.com – which I was told was a left wing outfit – you nonetheless have a fabulous story about Ms. Pelosi and her business acumen.
The Gordon Gekko from the New York Stock Exchange. The oracle of Omaha is dead. Long live the queen of stocks. She and her husband Paul Pelosi reportedly traded over $ 50 million in assets last year, with an annualized return of 69% in October, according to an estimate by Nancy Pelosi’s portfolio tracker.
PELOSIS HUSBAND BET BIG ON GOOGLE, SALESFORCE, DISNEY AFTER SPEAKER DEFENSE TRACKS
That’s higher than Buffett, George Soros, Cathy Wood, and other star investors. Apparently, the Pelosi portfolio beat the S&P 500 by 4.9 percent in 2019 and a huge 14.3 percent gain in 2020, according to a company called FinePrint. Ms. Pelosi is becoming a cult figure among stock investors.
A brilliant move, according to jacobinmag.com, was buying hundreds of thousands of dollars in Roblox when the game company went public in March. Many were skeptical of the value of a kid’s video game, but the value of the stock has doubled since then.
In July, it invested at least $ 1 million in computer chip maker Nvidia, which soared 70% during the global chip shortage.
A TikTok account called @quicktrades received 70,000 likes for a post highlighting the “Queen of Investing”.
Last month, Pelosis announced that it had bought millions of bullish call options on stocks like Google, Salesforce, and Micron Technology. The Pelosis have reportedly raked in at least $ 5.6 million and up to $ 30.4 million in capital gains and dividends from their holdings in five big tech firms: Facebook, Google, Amazon, Apple and Microsoft.
JON OSSOFF INVESTIGATES LAW TO BAN CONGRESS STOCK TRADING, PELOSI. RESET
To be honest, I have no problem with Ms. Pelosi getting rich. I like the fact that she is heavily invested in stocks and was Wall Street Trader of the Year last year. I’ve always believed that a rising tide would raise all boats
But I have a little problem with Ms. Pelosi’s trading companies that have serious regulatory issues ahead of Congress. Some people believe that she has been slowly pushing the regulatory issues surrounding the tech giants.
There is always a question of access and control, as well as confidential briefings and non-public information. I know you can trade stocks in the executive branch, but anything over a thousand dollars requires ethics clearance regarding potential conflicts of interest.
There are supposedly similar rules in Congress, but I wonder that. Ms. Pelosi has angered a number of her left-wing colleagues who believe that stock trading should be banned altogether. She does not agree.
And at the end of last month, in response to criticism, Ms. Pelosi said: “We are in a free market economy.”
Really, Ms. Pelosi? Just say ma’am. Any policy that you have supported runs counter to your “free market economy”.
This includes not only your advocacy of government takeovers in the energy, healthcare, banking and other sectors, but you have always been enthusiastic about supporting large tax increases for those who “fail to pay their fair share”.
GET FOX BUSINESS ON THE GO BY CLICKING HERE
On this last point, I was particularly interested in the report that you may have raked in as much as $ 30 million in capital gains and dividends over the past several years. There’s nothing wrong with that, especially since George W. Bush lowered the tax rate on cap profits and dividends to 15% in 2003. But now, Ms. Pelosi, you want to drive those investment rates up and even tax unrealized capital gains one way to a wealth tax. So while you have yours, you would be effectively preventing others from receiving their after-tax benefits.
I remember interviewing Ms. Pelosi about 15 years ago when she was about to become the Speaker of the House. It was a very pleasant interview that she wanted and I asked her at the end if she believed in the stock market and wealth creation and she replied, “Oh yes Larry, how do you think I got this? ” When she pulled up her hair and showed off a spectacular set of diamond earrings.
Honestly, I kind of loved it. I think she was waiting for the question and had a great answer and I was completely blinded by the diamond bezel in front of me. I’ve interviewed her twice over the years, both pleasant enough. I have never harbored any personal animosity towards her.
CLICK HERE TO READ MORE ABOUT FOX BUSINESS
When I went to work at Trump’s White House, she greeted me with a hug before a cabinet meeting began.
Of course, I do not agree with their political views. But on the other hand, if Mrs Pelosi defends the free market and trading again, the gap between her economic thinking and mine may narrow. I wouldn’t bet on it, but hope blooms forever.
Even so, I would suggest that the speaker encourage tax incentives, which are great opportunities for all Americans to get rich and benefit from superior stock-picking skills. If you tax something less, Ms. Pelosi, like stocks, assets, or jobs and income, you get a lot more of it. The non-rich can get rich.
Incidentally, I would like to interview her again or even have a nice phone call. And that’s my reef.
This article is taken from Larry Kudlow’s opening comment on January 10, 2022.