Hyper Rich Politician Buys A Boatload Of..

Nancy Pelosi is among the highest earners in Congress with a salary of $223,000 yet her stock portfolio has grabbed the attention of watchers for its performance relative to the market and size.

Her portfolio has some grown to an astonishing $223 million. In the words of one X user, what started as a mockery, copying and pasting her trades has resulted in a gain year-to-date of 71%.

Nancy Pelosi portfolio hit a new all time high today.

$253.7m.

She’s up $1.7mil today.

The portfolio I started as a joke, copy pasting her trades is up 71% in 6 months. pic.twitter.com/2meiyPpRa9

— legen (@legen_eth) July 1, 2024

So what did Pelosi just buy that has attracted the attention of the investing world at large?

Key Points

• Nancy Pelosi’s portfolio has far outperformed the market over the past decade.
• Her performance year-to-date is an astonishing 71%.
• Her latest buys have captured the attention of traders attempting to emulate her market-beating performance.

Pelosi’s Trades

Not everyone knows that politicians are exempt from rules that apply to the rest of us when it comes to trading information. While Martha Stewart may have gone to jail for such indiscretions, politicians face no such consequences.

As such, the temptation is high to trade on information that is material yet not public. This has led some to question whether certain politicians are benefiting disproportionately from the access they have enrich themselves.

Perhaps the poster child for these claims is Nancy Pelosi, who some contend has track record better than Warren Buffett and wonder how such a feat is possible without capitalizing on insider information.

The truth may never be known but what is certain is Pelosi’s portfolio is up substantially over the past 10 years and way outperformed the market.

Credit: QuiverQuant

What Did Pelosi Just Buy?

For those wondering what Pelosi just bought, the short answer is thematically artificial intelligence and specifically two stocks with enormous exposure to that accelerating trend.

First, she bought 10,000 shares of Nvidia. And secondly she bought 10,000 call options of AVGO. She also sold some Tesla shares and Visa too.

Her bet on 2025 call options on AVGO suggests that, if she really is in the know, that the AI train won’t slow down anytime soon and that Nvidia’s momentum is unlikely to reverse too.

It should be noted that some stakes taken have not resulted in immediate gains. This year alone, Palo Alto Networks plunged soon after her stake, but she loaded up at the bottom and since then it’s been nothing but blue skies for that position.

So, while there is no guarantee that she will be right once again, history suggests that Pelosi and her husband have a real knack for outperforming the market, and it would be dangerous to bet against them.