My Sunday Washington Post Business Section column is out. This morning, we look at how your portfolio will fare under a Trump administration. Elections and politics (as is so often the case in other visceral issues), matters far less than you imagine to your investments.
Both the print version and online version had the same headline: Why your portfolio won’t be Trumped.
Here’s an excerpt from the column:
“Here’s the truth: Economies and markets are just so much bigger than elected officials and campaigns. The United States has a $17 trillion economy. The day after the election, every person in America — whether thrilled or disappointed by the election — got up and went through their usual morning routine: They brushed their teeth, went for a jog, showered, had coffee, ate breakfast, read the paper or Twitter or Facebook, got the kids dressed and sent them off to school, and then went to work. They lived their lives. And every single thing I just mentioned costs money. People spent money on goods and services provided by other people doing their jobs. Those mundane routines of daily life amount to that $17 trillion a year.
That is why the economy has always been larger than any of those huge geopolitical events. Massive media events take up huge mindshare, but economically they are not very significant.”
The bottom line remains that politics are emotional, and emotions are never good for your investments.
Source:
Why your portfolio won’t be Trumped
Barry Ritholtz
Washington Post, November 13, 2016
http://wapo.st/2fP0FlW
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