The STOCK Act and the Congressional Stock Trading Ban

After reports that members of Congress traded on information learned in their jobs, Congress passed the Stop Trading on Congressional Knowledge Act, signed April 4, 2012. It affirmed that insider trading laws apply to members, staff, and executive officials, and required members, senior staff, and senior executive branch officials to report purchases and sales of stocks, bonds, and other securities within 30 days of learning of the trade and no later than 45 days after it. Reports are posted online. The penalty for filing late is usually 200 dollars.

Late filing has been common, and the trading of some members has repeatedly drawn scrutiny, including stock sales by several senators in early 2020 after private briefings on the coronavirus, which the Justice Department investigated without bringing charges. Other branches tightened their rules: after trading by Federal Reserve officials came to light in 2021, the Fed barred its senior officials from owning individual stocks, and a 2022 law required federal judges' financial reports and trades to be posted online after reports that judges had heard cases involving companies they owned.

Proposals to bar members of Congress and their spouses from owning or trading individual stocks have drawn support from members of both parties and from large majorities in polls. In July 2026 the House passed a bill, 232 to 198, barring members, spouses, and dependent children from buying shares of individual companies. On September 30, 2026, the Senate voted 53 to 47 to move forward, short of the 60 votes needed, and the bill stalled. Supporters say a ban would end both real and apparent conflicts, while opponents say disclosure is enough and that a ban would intrude on members' families and discourage people with assets from serving.