What’s in This Week’s Issue…

Good morning. For decades, U.S. politicians have insisted they serve the public and their decisions are for the country’s good. But behind closed doors, many are quietly turning political power into massive personal wealth.

They have access to secret, confidential information. They write the rules that move industries. And somehow, they always seem to trade the right stocks at the right times.

But how are they even doing it, and why is no one stopping them?

So this week…

• 🏆 The Big Play: Congress’s stock trading scandal and how politicians turn secrets into market-beating trades

• 💪 The Power Move: How Steve Jobs used the ‘anchoring effect‘ to manipulate consumers

• 💵 Follow the Money: How the Sinaloa cartel is profiting big off illegal migration

-GEN

🏆 The Big Play

The biggest money power story of the week.

Why U.S. Politicians Get Rich (While You Stay Poor)

In 2020, as COVID-19 swept the world, regular investors were scrambling. The market was tanking. But for Congress, this was an opportunity.

Between February and April, 12 U.S. senators dumped stocks worth millions right before the market crashed. So they must be genius stock traders…right?

Some even took a step further and bought a bunch of pharma stocks that would later skyrocket as vaccines got rolled out. Turns out this isn’t a one-off.

Take a look at this graph from 2024:

The numbers don’t lie. If you want to get rich, join Congress…and trade stocks! A prime example is Nancy Pelosi, who has a net worth of around $250 million while the average salary in Congress is $174,000.

It’s also not a partisan issue. As you can see, both Democrats and Republicans are consistently beating the market and growing their wealth exponentially compared to their salary.

Overall, the Senators have beaten the market by an average of 4.9% every three months — returns that even billion-dollar hedge funds struggle to match.

So how is this still allowed in any way?

1. The Stock Act: A Law Designed to Fail

In 2012, public outrage forced Congress to pass the STOCK Act to “prevent” insider trading. But Washington has a habit of writing rules with built-in escape routes:

• The penalty for violating the act? $200 — less than what a speeding ticket costs.

• One year after passing the bill, Congress quietly removed key transparency rules like online disclosure of members’ financial information.

• Since 2012, NO active member of Congress has faced criminal charges under the STOCK Act.

The law wasn’t designed to prevent corruption. It was designed to silence the outrage while letting business continue as usual.

And it worked because the US may be one of the only countries where this happens.

2. How the U.S. Compares to the Rest of the World

While American lawmakers treat stock trading as a job perk, other countries take it seriously:

• Norway: A politician’s husband trading stocks on inside information led to her resignation.

• U.K.: Lawmakers are banned from trading based on non-public information obtained through their position. It is a criminal offense.

• Australia: Similar rules ban politicians from personally profiting from their legislative decisions.

Meanwhile, in the U.S., members of Congress actively trade stocks in industries they regulate. There are no bans, no oversight, and no resignations.

And it gets even worse.

3. The Revolving Door: Politics as a Get-Rich-Quick Scheme

For many lawmakers, the real payday comes after they leave office:

• More than 50% of former members of Congress have moved into lobbying, investment firms, or corporate boards of the very industries they used to regulate.

• For example, former Senator Joe Manchin now advises Apollo Global Management, a $700B investment firm.

• Kelly Loeffler, whose husband owns the New York Stock Exchange, saw her personal fortune soar past $500 million during her time in office.

This sure doesn’t look like public service. More like a golden ticket to generational wealth.

But if other countries crack down on this corruption, why does the U.S. let it slide?

4. Why No One Stops Them

Because they write the rules and the enforcers don’t have the power to challenge them:

• The SEC and DOJ rarely investigate lawmakers because prosecuting elected officials is a political minefield.

• Even when cases are opened, Congress controls the budget of the agencies investigating them.

• There are ethics committees in Congress. But they’re made up of other lawmakers who have no interest in punishing their colleagues.

If YOU used inside information to make millions, you’d be in federal prison next to Martha Stewart.

The system isn’t broken. It works exactly as intended. Reform never passes, consequences never come, and the cycle of wealth and power stays intact.

And until that changes, Congress isn’t playing the stock market — they’re playing you.

💪 The Power Moves

Playbook for understanding the game of power.

How Steve Jobs Used the “Anchored Effect” To Sell More

Prices aren’t just numbers. They’re mental benchmarks, and the first number you see sets the stage for how much you think something is worth. This is the anchoring effect, a psychological trick used to manipulate consumers.

And no one did it better than Steve Jobs.

When Apple launched the first iPad, Jobs walked on stage and did something brilliant:

• He told the audience that analysts expected the price to be $999.

• He let that number sink in, letting the crowd accept it as the benchmark.

• Then, when the moment came, he announced the actual price: $499.

The result? $499 suddenly felt like an incredible bargain, even though it was still expensive for most people at the time. Jobs didn’t lower the price. He changed how people perceived it.

Apple has mastered this strategy. Their premium pricing doesn’t just sell products — it sets the illusion of value. And consumers don’t just pay for it, they believe it.

The Takeaway:

Anchoring shapes perception, not just price. Whether you’re negotiating a salary, setting prices, or selling an idea, the first number you introduce controls the playing field.

So, set your own anchors before someone sets it for you and watch how it changes everything.

💵 Following the Money

Three of the wildest financial and corruption stories from around the world.

#1 - Sinaloa Cartel Smuggler Profits $3,000 Per Illegal Migrant. Here’s How 💰

#2 - Why Boeing is looking to withdraw guilty plea in 737 MAX crashes 🏛️

#3 - Chinese recruitment network tries to lure laid off federal workers 🇨🇳

✨ Poll time!

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