Unusual Whales launches ETFs to let you trade like Congress
Knowledge is power, and no one has more knowledge than company insiders, hackers and politicians. But Cersei will be quick to tell you that power is power.
In recent years, there has been an increase in popularity of following politicians’ trades due to their access to inside information.
In January, data platform Unusual Whales released a report showing Congress members that had beaten the S&P 500.
Congress members have beaten the S&P 500 in 2021 and 2022 — by a wide margin.
- Returns varied widely by person — one down by as much as 93% and another up as much as 240%.
- They performed better than hedge funds — which had fallen 4.25% on average in 2022, per the HFRI 500 Index.
What’s the logical thing to do? Launch an ETF tracking Congress trades.
Unusual Whales partnered with Subversive to launch:
- Subversive Unusual Whales Republican ETF (NYSE:KRUZ) — invests in assets purchased by Republican members and spouses.
- Subversive Unusual Whales Democratic ETF (NYSE:NANC) — invests in assets purchased by Democratic members and spouses.
The expense ratio on both is 0.75%. Stocks in the Technology, Financial Services and Consumer Services sectors were the most purchased in 2022.
Congress members have 45 days to report trades over $1K — a deadline that’s often missed.
Will they continue beating markets, or will Congress trading get banned? We’ll find out.