The Presidential election delivered a surprise outcome that roiled financial markets in the early hours after the results were in. We have a 240 year old democratic system in America that still works but sometimes the process is painful. Stepping back from politics, change is imminent. At Venturi, our focus is to evaluate the potential economic impact and investment opportunities.
New administrations historically have greater odds of instilling change in the first six to nine months of their term. Potential outcomes could result in:
- Repatriation of large corporate profits trapped overseas
- Cut to corporate income tax rates
- Infrastructure building programs-both here and overseas
- Reversal or reduction of increased regulatory burden
- Inflationary policy
- Restructure of the Affordable Care Act
We believe that longstanding negative investor sentiment evidenced by individuals and U.S. corporations could moderate. This could lead to additional corporate and private investment. There are investment theme and sector implications that we will consider across our investment strategies.