However it does appear to be a good indication that something is coming down the line if SEC people sell...
This policy is forcing them to act on non-public information, which is very illegal for everyone outside of the SEC.
Option A: Blind trust with some capital gains incentives?
Option B: Ability to manage your own portfolio, but can't act on SEC+company news until x hours after publicly disclosed?
My two cents,
D: Some sort of anonymized peer review of transactions? Maybe even automated.
Selling stocks in which you're conducting an investigation discharges the conflict in pursuing the investigation, but likely accrues a gain consequent to it.
Even, say, requiring a public disclosure of investigation, then* allowing SEC staff to sell stocks, would create a conflict to the extent that the decision to conduct an investigation would have a likely known negative influence on stock holdings.
Congress has been known to have above average returns on stock investments, making the congressional salary increases we quibble over look like chump change, if they are using their unique knowledge of policy direction to the fullest.