Skip to comments.Rep. James Moran's investments illustrate Congress's leeway in trading
Posted on 05/25/2010 7:27:34 AM PDT by Palter
He was a stockbroker before he became a politician, and he continued playing the markets during his rise through Congress.
Rep. James P. Moran Jr. (D-Va.), a member of the powerful House Appropriations Committee, brought a swagger to both endeavors, sometimes winning big, sometimes losing big. At times, his investing became so busy it verged on what later came to be known as day trading.
Moran's dual focus illustrates the latitude that every lawmaker has under congressional rules to invest largely as each chooses, a much less regulated approach than what Congress has required for other government officials and private-sector executives.
Moran's trading has evolved over the years. Between 1995 and 2003, while representing bustling Northern Virginia, Moran made more than 537 options trades, potentially worth more than $3 million in all, according to a Washington Post review of records compiled by the nonprofit Center for Responsive Politics. In 1999, after the congressman lost about $120,000 over two years through options investments, attorneys for Moran's second wife described his behavior as "stock market gambling" in court papers filed as part of a divorce.
Since Moran's remarriage in 2004 to a wealthy entrepreneur, his disclosure statements show one of the most actively traded portfolios in Congress, with assets owned by his wife. In early 2005, he personally made more than two dozen risky, short-term investments designed to profit on the rise or fall of stock indices, his disclosure forms show.
Austin Durrer, Moran's chief of staff, said Moran has not made stock trades himself in five years. Durrer played down the significance of the congressman's investing activity in the 1990s, saying it had been addressed in his personal financial disclosures and written about in media accounts.
(Excerpt) Read more at washingtonpost.com ...
Gee, I thought I had put up a comment.
I don’t see it. But, here’s another:
“We can read several things into the differences. Most obviously, the U.S. has a more formalized and tax-favorable system of philanthropy than the rest of the world. (It is too sweeping to say Americans are the most “generous.”)”
The fact that American tax law promotes philanthropy is proof in and of itself of the more generous nature of Americans.
Mr. Moran used to be a big option trader when he was at AG Edwards in Old Town, Alexandria. He was the mayor of Alexandria during part of that time.
I wonder how much $$$ he lost for his clients.
I heard he used to buy call options a lot. The ultimate risk in that trade is that the underlying stock or index doesn’t advance, or goes down, and the options expire worthless.
er, um - could you please disregard the above?