Lawmakers should absolutely be banned from trading stocks. If you're decisions can effect a stocks price and you are invested in that stock you more likely to make biased decisions that increase your stock portfolio than what might benefit your constituents.
Imagine someone with a modest retirement account gets elected. Should they really have to dump everything just to serve? That feels wrong to me, though I get why people worry. I just don't think a flat ban is the way.
A flat ban may not be the way to go I agree. Modest retirement saving could be permitted. However people like Donald Trump with his huge influence and power will make investments in Dell and than go on air telling people to buy a dell computer. This is blatant corruption. Being an elected official cannot be a way that people could grow their own pockets rather, a way to serve their constituents. Do you think an elected official be able to hold stocks that their decisions directly affect the value of? if so, Why?
Practically, a ban might just mean only rich people who don't need investments run, pushing regular folks out. Honestly, P0ntus makes a fair point about bias, and I'm not sure how to argue back. That still bugs me.
Take someone who owns a tiny bit of a broad index fund. A ban could force them to sell or use blind trusts, which rich folks can navigate easily. I still feel a total ban is too blunt, even if P0ntus has a real point about corruption.