Does It Pay to Copy Congress' Stock Trades?
Does It Pay to Copy Congress' Stock Trades?  
Podcast: Investing Insights
Published On: Fri Mar 28 2025
Description: Zach Evens, a passive strategies analyst for Morningstar Research Services, discusses two ETFs that use data from Unusual Whales to track congressional stock trades. He explains why investors might be drawn to these funds and the potential risks that they face.Key Takeaways:Why Investors May Want to Follow Congressional Stock TradesAre Members of Congress Good at Picking Stocks?The Firms Behind the ETFs: Subversive Capital and Unusual WhalesLimitations of the Data on Congressional Stock TradesHow Democrats and Republicans Invest DifferentlyBoth the Democratic and Republican ETFs Favor Tech StocksHow Outsize Tech Exposure Has Affected the Performance of These ETFsWhy Investors Face Concentration Risk With Thematic Funds Like Congressional ETFsWhy the ‘Black Box’ of Congress’ Investing Strategy Is Risky for InvestorsKey Takeaways on Investing in Congressional ETFs What's next is now at the Morningstar Investment Conference. Register now to get to the source for cutting-edge research, expert insights, and thorough analysis. Click here to register Read about topics from this episode.  The 2 ETFs That Track Congressional Stock TradesMorningstar’s Guide to ETF InvestingAn Investor’s Guide to the Next Trump AdministrationThe Big Shortfall: Understanding the gap in thematic fundsThe Best Tech Stocks to BuyAre Stock Investors in for Another Tech Wreck?What Trump’s Trade Wars Could Mean for the Global Economy and Markets6 ETF Investing Predictions for 2025 What to watch from Morningstar.Can Healthcare Stocks Keep Outperforming the Market?Worried About a Market Sell-Off? These 10 Funds Reduce Portfolio Risk Gray Divorce: How to Avoid Triggering a Costly Tax BillWhy the Bond Market Looks Brighter Than It Did in 2022 Read what our team is writing:Zachary EvensMargaret Giles Follow us on social media.Facebook: https://www.facebook.com/MorningstarInc/X: https://x.com/MorningstarIncInstagram: https://www.instagram.com/morningstar... LinkedIn: https://www.linkedin.com/company/5161/  Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.