Where is the SEC? Where are the prosecutions?
Speaker of the House Nancy Pelosi and her husband are cashing in already on $5 million of Amazon stock purchased during the time frame that closed-door coronavirus meetings were being conducted in Congress.
As of Tuesday morning, the Pelosi stock purchase had already earned the couple $1.1 million in less than 10 weeks. The Amazon share price climbed close to $2,000 on Tuesday. Paul Pelosi, the speaker’s husband, got in at a price of $1,600 per share and grabbed 3,000 shares on Jan. 17, according to financial disclosure filings.
Nancy Pelosi’s Husband Bought Up Slack, Microsoft, and Alphabet Securities
By Ed Lin, Barrons, April 2, 2020:
In late February, when the U.S. stock market was in the early stages of slipping on news of the coronavirus outbreak, House Speaker Nancy Pelosi’s husband, Paul, began buying up tech stocks and stock options.
Paul Pelosi, a businessman and investor, paid up to $3.3 million in total to buy Alphabet (ticker: GOOGL) and Microsoft (MSFT) stock options, and Slack Technologies stock (WORK), an April 1 regulatory filing from Speaker Pelosi shows. All three stocks have been outperforming the broader market, as measured by the S&P 500 index, although only Slack stock sports a year-to-date gain.
These appear to be recent investments by Paul Pelosi in securities of those companies. Speaker Pelosi’s annual financial disclosure report for 2018, the latest one available, shows no Alphabet or Microsoft investments. (Slack shares didn’t trade publicly until last year.) Her filings since then showed no investments in any of the three companies. Public officials, their spouses, and dependent children are all generally required to report transactions within 30 days, but the deadline can be extended.
Speaker Pelosi and Paul Pelosi didn’t immediately respond to requests for comment on the transactions.
On Feb. 20, Paul Pelosi purchased 10,000 Slack shares, valued at a range of $500,001 to $1 million. Specific values aren’t required for disclosure, only ranges. The shares he purchased that day appear to be showing a small loss, if Paul Pelosi still owns them. Slack stock closed that day at $27.49, and the low for it was $26.52. Shares were trading Thursday morning at $25.64 for a year-to-date gain of 14.1%. The S&P 500 index is down 22.5% for 2020.
From Feb. 21-28, Paul Pelosi paid between $850,003 and $1.75 million for Microsoft stock options. He acquired a total of 150 call-option contracts to buy Microsoft stock at $130 each, and 100 call-option contracts to buy the stock at $140 each. The options expire March 31, 2021.
An option contract is typically for 100 shares each, and call options are financial contracts that give investors the right, but not the obligation, to buy stock at a predetermined price. Microsoft shares, which traded in March for as little as $135.00—within the range of the purchase price of his options—were trading Thursday for $153.63 for a loss of 2.6% year to date.
On Feb. 27, Paul Pelosi paid between $500,001 and $1 million for 40 call-option contracts that give him the right to buy Alphabet’s class A shares at $1,200 each. The options expire June 18, 2021. On the day Pelosi bought the options contracts, the shares traded for as little as $1,314.24 and closed a little higher than that $1,314.95. March saw Alphabet stock slide, and on Thursday shares were trading for $1,110.32, a year-to-date loss of 16.9%.