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Chart relating the net worth of members of Congress to their stock-trading returns

Public record · Financial disclosure reports

The richest members of Congress trade the most — but not the best

Wealth buys a seat at the table and a habit of trading. It does not, on this evidence, buy an edge — the rich churn more stocks and still lose to an index fund.

The method

We took each House member’s disclosed net worth from their latest annual financial-disclosure report and joined it to their trading record — every disclosed buy since 2013, scored twelve months out against the S&P, the same way we ranked the best and worst traders in Congress. Two questions: do richer members trade more, and do they trade better?

Question 1 · Do they trade more?

Yes — dramatically

Sort all 287 members into four wealth tiers. The share who trade individual stocks at all climbs straight up the ladder: from almost nobody among the least wealthy to half of the richest tier.

Share of members who trade individual stocks, by wealth tier
Wealth tierMedian net worthTrade stocks
Poorest 25%−$0.2M4%
2nd quartile$0.5M6%
3rd quartile$2.7M25%
Richest 25%$12.7M50%

The rank correlation between net worth and number of disclosed buys is +0.46 — one of the cleaner relationships in this whole dataset. If a member is in the news for active stock trading, they are almost always already rich.

Question 2 · Do they trade better?

No — both halves lose to the market

Now take only the members who actually trade (15+ disclosed buys) and split them at the median net worth. The wealthier half trails the market by a hair less — but both halves have a negative median. Money doesn’t become alpha.

Median 12-mo return vs S&P, by wealth · active traders← trails · beats →
Wealthier halfn=22 · richer active traders
−2.6%
Less-wealthy halfn=22 · the rest
−3.5%
−8%−4%0+4%+8%

The correlation between net worth and trading skill is +0.15 — statistically a shrug. And the names make the point louder than any average: the richest active traders scatter from +17.6% to −24.1%.

The richest members who actually trade — and their edge
MemberNet worthBuysMedian αWin
Suzan DelBene$128M59+17.6%76%
Nancy Pelosi$142M87+9.1%62%
Don Beyer$68M308+5.8%62%
Kevin Hern$112M423−1.4%47%
Josh Gottheimer$32M1,097−2.0%47%
Daniel Goldman$92M265−24.1%23%

The twist

The two richest don’t trade at all

The wealthiest members in the House — Darrell Issa (~$232M) and Vern Buchanan (~$203M) — have zero disclosed individual-stock trades. Their fortunes sit in operating businesses and funds, not a brokerage account someone could copy. The people most worth watching for a stock tip are, ironically, not the richest at all.

Wealth in Congress predicts how much you trade, not how well. The rich get the access; the index still gets the returns.

What this is and isn’t

What’s next

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