Nancy and Paul Pelosi negotiate big – with a lot of hypocrisy

The Democrats have carved out a niche for themselves as the party of the have-nots, even if it is mostly a hypocritical marketing ploy. Bernie Sanders, the socialist, leads a pretty non-socialist life with a townhouse, a vacation home and all the comforts of the bourgeoisie as he pretends to defend the proletariat.

Similar examples abound. Remember the late Massachusetts senator and liberal icon Teddy Kennedy’s support of forced transportation by sending his children to private school in the 1970s. The latest of those “freedom for me but not for you” hypocrisies involves the case of Paul Pelosi, the octogenarian husband of Nancy Pelosi, the left octogenarian Speaker of the House of Representatives.

Paul Pelosi has killed it in the stock market in recent years, according to disclosure forms, for reasons that may well go beyond some innate ability to sense market swings. His latest home run: grabbing between $1 million and $5 million in shares of computer chip darling Nvidia (via the exercise of call options) on June 17, according to disclosure documents.

His timing, once again, was impeccable: he executed the transactions as Congress moved closer to passing tens of billions of dollars in social subsidies for semiconductor production in the United States. This is good news for Nvidia and shareholders like Paul Pelosi. Since his bet, the shares have risen almost 10%. By my calculations, he could have pocketed $500,000 quickly.

It's one of the many times Pelosi has profited heavily from the stock market.
Paul Pelosi should have pocketed at least $500,000 during his recent investment in Nvidia.
Bruce Glikas/FilmMagic

Maybe Paul Pelosi knows a thing or two about stock trading. Or maybe he’s just a scholar, like Hillary Clinton, who years ago credited his reading of the Wall Street Journal with his ability to make big bucks trading esoteric futures contracts on the cattle.

One of the problems with giving Paul Pelosi the benefit of the doubt is that enough of his winners involve companies that appear to have benefited from legislation that his wife, as a powerful left-wing speaker, contributed to.

Hmmm. . .

Paul and Nancy have been married for 59 years. He stood with Nancy on her rise to the top leadership of the Democratic Party. She certainly benefited from her career as a successful investor in Silicon Valley.

That includes his recent half-million earnings from Nvidia.
Some of Paul Pelosi’s winning stocks involve companies that appear to have benefited from legislation his wife helped pass.
AFP via Getty Images

His trades are his trades

The reason we know about Paul Pelosi’s market prowess is that members of Congress are required to disclose these investments, and since he is married to Nancy, his trades, under disclosure rules, are his trades.

And that explains why Nancy Pelosi is one of the richest members of Congress – with an estimated net worth of over $100 million on an annual salary of around $200,000.

The power couple owns a vineyard in the Tony Napa Valley, along with plenty of wealth and status benefits. She represents the dysfunctional congressional district in and around San Francisco, which means she regularly attacks wealth-makers while pointing out the virtue of the poor and downtrodden — who remain under her watch.

This is limo liberalism on steroids. Luckily for them, their allegiance to left-leaning politics sort of ends when it comes to businesses involving Paul.

Paul is a lifelong venture capitalist. Where is Nancy in eliminating this controversial and anti-progressive venture capital tax break known as the Deferred Interest Allowance, which gives her and other gazillionaires favorable tax treatment?

MIA

Where is she at to ensure that members of Congress or their spouses cannot have an information advantage, especially on market-moving legislation?

Here, Nancy is a born-again capitalist. She and her husband “should be able to participate in this,” she said last year when asked about her husband’s business.

Insider trading — or trading stocks on material, nonpublic information — is a crime, of course. Recent legislation puts people who use the information they have learned based on their position in Congress (or that of their spouse) in the same slime bucket.

But most lawmakers who have been investigated for allegedly using their position to trade hardly ever face criminal charges. See the case of Republican Senator from North Carolina Richard Burr. Lawmakers receive private briefings, as Burr did before selling stocks just before the pandemic rocked markets. They can and should point out that the same information was swirling around the Internet or on commercial television.

That’s why any case against Paul Pelosi would likely go nowhere. His timing on Nvidia may have been shady, but he might as well cite countless news stories about the legislation dating back at least six months, long before his trades were made.

So it might not be illegal – but it looks really seedy. The Pelosis hold positions of influence with access to information unavailable to most Americans. And they have no shame in taking millions while Nancy Pelosi leads a party dedicated to virtue pointing out the sins of capitalism.

There should be a law against that.

Garland K. Long