Investors Could Track Congressional Stock Trades by Party With 2 New ETFs

The funds are actively managed diversified ETFs that seek to invest primarily in stocks of companies that sitting Democratic and Republican members of Congress, respectively, and/or their spouses have reported to have invested in through public disclosure filings made under  the Stop Trading on Congressional Knowledge (STOCK) Act. 

STOCK Act filings, known as periodic transaction reports (PTRs), are filed with either the Senate Office of Public Records or the clerk of the House of Representatives and made available online pursuant to the Ethics in Government Act, the filing noted.

The ETFs will focus only on the stocks bought or sold by members of Congress who are registered members of the Democratic or Republican parties and their spouses and won't consider investments by those registered as an Independents.

Subversive Capital Advisor LLC will analyze PTRs filed by Congress members and their spouses to determine which securities, and how much of each security, to select for the funds, selling when a position is reported as being sold.

The ETFs typically will invest in portfolios of 500 to 600 equity securities, but the number of positions will vary based on those held by Congress members and spouses. 

Congressional leaders recently postponed action on legislation to limit stock trading by lawmakers despite growing pressure from the public and some members to prohibit such activity and avoid conflicts of interest.