If You Invested $1,000 In SPY Stock When Nancy Pelosi Was Speaker Of The House, Here's How Much You Made

Zinger Key Points
  • Nancy Pelosi served as the Speaker of the House for eight years under four different presidents.
  • A look at the return of the S&P 500 with Pelosi as Speaker of the House.
Loading...
Loading...

One of the most prominent figures in the U.S. Congress and in the investing community is Nancy Pelosi, a Democratic member of the House of Representatives from California.

Well-known for serving as the Speaker of the House on several occasions and for her husband’s stock trades, Pelosi ended her time as Speaker of the House when the Republicans took back control of the House after the 2022 midterm elections.

Here’s a look at how investing in the market would have performed while Pelosi was Speaker of the House.

What Happened: Pelosi was the Speaker of the House from Jan. 4, 2007 to Jan. 3, 2011, and from Jan. 3, 2019 to Jan. 3, 2023. Pelosi was succeeded by Kevin McCarthy (R-Calilf.), who was recently elected as the Speaker of the House after several rounds of contested voting.

Pelosi became the first woman to serve as the Speaker of the House when she was sworn into the role in 2007.

During her first run as Speaker of the House, Pelosi served as the leader under presidents George W. Bush and Barack Obama.

After Republicans took control back of the House of Representatives, Pelosi was succeeded by John Boehner and Paul Ryan. Pelosi served as the House Minority Leader from 2011 to 2019.

In 2019, Pelosi was once again sworn in as the Speaker of the House, serving as the leader for two terms under presidents Donald Trump and Joe Biden.

Pelosi remained a member of the House of Representatives, a position she has held since 1987. Pelosi announced in November 2022 that she would step down from a leadership role in Congress.

During her time in office, Pelosi had often been the subject of questionable stock and options trades made by her husband Paul Pelosi, a venture capital investor. Trades centered around companies that often benefitted from policy changes in government.

Pelosi said she did not provide any information to her husband, but her trades have become closely watched and led to the creation of the Pelosi ETF tracker by Unusual Whales and increased calls to ban members of Congress and their spouses from trading activities.

Here’s a look at how the market has performed while serving as the Speaker of the House.

Related Link: 10 Best Stock Traders In Congress In 2022 

Investing $1,000 in SPY Stock: Pelosi served as the Speaker of the House from Jan. 4, 2007 to Jan. 3, 2011, and from Jan. 3, 2019 to Jan. 3, 2023. For this hypothetical investment, the high prices of the SPDR S&P 500 ETF Trust SPY are used.

On Jan. 4, 2007, a $1,000 investment could have purchased 7.04 shares of SPY. The investment would have been worth $898.30 when sold on Jan. 3, 2011.

The $898.30 investment could have bought 3.61 shares of SPY on Jan. 3, 2019. That investment would have been worth $1,395.01 when cashed out on Jan. 3, 2023.

The overall $1,000 investment would have been worth $1,395.01 when Pelosi stepped down as Speaker of the House, representing a return of 39.5% over an 8-year period. This translates to an average annual gain of 4.94% over the eight years Pelosi was Speaker of the House.

Loading...
Loading...

Investing in the S&P 500 in only the years Pelosi was the Speaker of the House could have missed out on several years that saw strong returns. The S&P 500 was up 29.6% in 2013, up 28.9% in 2019 and up 26.9% in 2021.

A $1,000 investment in the SPDR S&P 500 ETF Trust from the day Pelosi was elected Speaker until the time she stepped down in 2023 without taking the money out when she was not Speaker from 2011 to 2019 would have turned into $2,720.47.

This represents a gain of 172.0% and an average annual return of 10.75%.

While investors can’t know for sure if a member of Congress will lead to strong stock returns, the hypothetical investment could show that index funds often have better average annual returns the longer the investment is for.

Read Next: Nancy Pelosi Loses Money On 75% Of Recent Trades, Here's Where It Went Wrong 

Photo: Shutterstock

Loading...
Loading...
Market News and Data brought to you by Benzinga APIs
Posted In: EducationPoliticsGeneralBarack ObamaDemocratsDonald TrumpGeorge W. Bushif you invested 1000 catalystJoe BidenJohn BoehnerKevin McCarthyNancy PelosiPaul PelosiPaul RyanS&P 500Speaker of the House
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!

Loading...