Election Season is Here

by | Aug 31, 2020 | Blog, Equities

We are not here to push a political platform, so let’s put the 2020 election into perspective for the stock market. Here are some quick facts:

  1. Historically, if stocks are higher in the three-month period preceding the election, the incumbent party has won, and if stocks are lower, the opposition party has won.
  2. Since 1952, no party has retained the White House when there was either a 20% decline or a recession during an election year.
  3. When the economy is in a recession on Election Day, the incumbent party has lost 80% of the time versus 32% when the economy was in expansion.
  4. President Trump sported a 38% approval rating. No president has been reelected with an approval rating that low at the end of June.

In a nutshell, history has not been kind to presidents facing economies and stock markets like 2020. The question is whether voters blame President Trump.

Read the full report here

 

Disclosures

Past performance is not indicative of future results. This material is not financial advice or an offer to sell any product. The information contained herein should not be considered a recommendation to purchase of sell any particular security. Forward looking statements cannot be guaranteed.

This commentary offers generalized research, not personalized investment advice. It is for informational purposes only and does not constitute a complete description of our investment services or performance. Nothing in this commentary should be interpreted to state or imply that past results are an indication of future investment returns. All investments involve risk and unless otherwise stated, are not guaranteed. Be sure to consult with an investment and tax professional before implementing any investment strategy.

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