The U.S. Senate failed to pass a Republican bill restricting members of Congress from trading stocks after Senate Democrats blocked it, arguing the measure didn’t go far enough to curb the practice.
The Stop Insider Trading Act failed to reach the Senate floor in a 57 to 43 vote, with every Democrat and independent voting against the legislation.
The Bill's Rules
The bill sought to ban Members of Congress, their spouses, and dependent children from buying new stock in publicly traded companies.
It also required members of Congress to file a public notice of intent to sell with the House Clerk or Senate Secretary 1 to 2 weeks before selling.
The legislation, however, would allow members to keep their portfolio and engage in private stocks.
Controversial Provisions
Additionally, House Republicans previously added provisions to the bill that exempted the president from the trading ban and included an unrelated voter identification requirement.
Schumer Calls Bill A "Permission Slip"
Senate Democratic Leader Chuck Schumer (N.Y.) criticized the legislation, calling it “a formula for disaster and corruption” and arguing that it didn’t actually solve the issue.
“Only Senate Republicans would dare call a bill that permits members of Congress to continue to own, sell, and in some instances buy stocks a stock-trading ban,” Sen. Schumer said. “The Republican bill is a permission slip for corruption, not a stock-trading ban.”
Prior Efforts To Ban Insider Trading
The battle to end insider trading in public office has been a strenuous one over the years.
Most notably, Sen. Josh Hawley (R-Mo.) introduced the Preventing Elected Leaders from Owning Securities and Investments (PELOSI) Act in 2023. The bill gained bipartisan support in 2025 after it was renamed and added a stipulation barring presidents and their family members as well.
Congress' Midterm Recess
The U.S. Senate’s vote came before Senators left for Midterm recess. Congress will not return to session until after the 2026 Midterm Election on Nov. 3, 2026.
