Guess Who is Doing Insider Trading

It is our elected representatives in Washington. They are able to somehow significantly outperform the market. Since we have already determined they aren't that smart, the only explanation is insider knowledge. Those business bashing Democrats are actually beating the pants off their Republican counterparts. Isn't that shocking?

Despite the GOP's reputation as the party of the rich, House Republicans fared worse than their Democratic colleagues when it comes to investing, according to the study. The Democratic subsample of lawmakers beat the market by 73 basis points per month, or 9 percent annually, versus 18 basis points per month, or 2 percent annually, for the Republican sample.
"Given the almost folkloric belief that Wall Street invariably favors Republicans, the superior performance of trades made by Democratic representatives may seem surprising," the study authors said.

Obama Buddy Rajat Gupta Charged With Massive Insider Trading

Rajat Gupta attended President Obama's first state dinner in honor of the Prime Minister of India. He is a big money donor to Democrats. Gupta undoubtedly hit it off with Obama as soon as they met. He is a native of Kolkata, a Communist-run city in Eastern India.

(AP)- Federal regulators have charged a former Goldman Sachs board member with insider trading, saying he gave confidential information to the key figure in what prosecutors call the largest hedge fund insider-trading probe ever.

The Securities and Exchange Commission announced the civil charges against Rajat Gupta on Tuesday. The SEC said Gupta told Raj Rajaratnam, founder of the Galleon Group hedge fund, that Warren Buffett's Berkshire Hathaway planned to invest $5 billion in Goldman before it was publicly announced at the height of the financial crisis.