The trading activity of members of Congress continues to draw increased attention from investors with the potential that conflicts of interest, including committee assignments, could influence trades.
A well-known member of Congress disclosed multiple trades on Friday around market close.
What Happened: The increased attention on Congress trading activity has led to the creation of several Congress Trading ETFs and a new one on the way.
Sen. Tommy Tuberville (R-Ala.) is one of the most active traders in Congress and has drawn scrutiny for past trades. The senator's trades often come in large quantities and big amounts.
On Friday, Tuberville disclosed a large amount of trades with mostly sales of previous positions and the buying of call and put options on new and old positions.
Some of the larger transactions were the sale of Cleveland-Cliffs Inc (NYSE:CLF) stock, the sale of Intel Corp (NASDAQ:INTC) stock and exiting the position of Humacyte Inc (NASDAQ:HUMA).
Tuberville also bought calls and puts on the Ark Innovation ETF (NYSE:ARKK).
The senator also sold shares of media company Paramount Global (NASDAQ:PARA)(NASDAQ:PARAA), which was the subject of a potential merger that fell apart.
The only buys outside of the options in the latest disclosure were additional Intel shares and a $1,000 to $15,000 position in health care company Solventum Coproration (NYSE:SOLV).
"Breaking: Senator Tuberville just reported millions of dollars in trades, intentionally on a Friday afternoon to avoid media coverage," Congresstrading tweeted on Friday.
Related Link: EXCLUSIVE: Khanna Says ‘Shameful’ Congress Members Profited From Stocks, Calls For Trading Ban: ‘Making Money When The Rest Of The Country Was Suffering During The Pandemic’
Why It's Important: Tuberville sits on several committees in Congress. This has led to increased attention to his trades in stocks such as Humacyte, with his placement on the Armed Services Committee, and transportation and commodity-related stocks with his position on the Senate Committee on Agriculture, Nutrition and Forestry.
Humacyte drew attention from traders previously as the company has been connected to products being used in Ukraine during the Russia-Ukraine War.
Earlier this year, a disclosure that Tuberville bought $50,000 to $100,000 in shares of regional bank Southern States Bancshares (NASDAQ:SSBK) drew attention as it was flagged that the bank's CEO had donated to Tuberville's campaign previously.
Tuberville also previously purchased shares of Intel before the CHIPS Act was signed into law by President Joe Biden. The CHIPS Act gave $50 billion in funding to chip companies, including Intel.
Representatives for Tuberville told the Montgomery Advertiser previously he has financial advisors who manage his portfolio.
While some members of Congress have supported a ban on stock and options trading, Tuberville has opposed such a measure in the past, calling it “ridiculous.”
“I think it would really cut back on the amount of people that would want to come up here and serve, I really do. We don’t need that,” Tuberville told The Independent in 2022.
Read Next: 10 Best Stock Traders In Congress In 2023 (Spoiler: Nancy Pelosi Has Reentered The Chat)
Photo: Sen. Tommy Tuberville via Shutterstock
