What about people who worked at a company that gave them a few thousand dollars in equity compensation? Would they forced to sell their stock?
Does this apply to an S&P 500 ETF, if so, why?
No, the proposed legislation does not affect your existing holdings you had before you become a Member of Congress, as long as you don't touch those holdings during your term of office.
"Members would also have the option of retaining their existing investments while in office, so long as they do not trade them while in office, or transferring their holdings into a blind trust. [0]"
>Does this apply to an S&P 500 ETF, if so, why?
No, since the S&P 500 is not an individual stock. All broad-based investments are exempt.
[0] https://krishnamoorthi.house.gov/media/press-releases/congre...
> Congressman Raja Krishnamoorthi, a Democrat from Illinois, is part of a bipartisan group of House and Senate members who have introduced legislation banning lawmakers from owning individual stocks.