Watch/Listen

60 seconds with Marcus Brookes on Clinton versus Trump

Marcus Brookes discusses what the two US presidential candidates might mean for investors' portfolios.

06/10/2016

Marcus Brookes

Marcus Brookes

Head of Multi-Manager

In the US election there are two very different characters who will bring very different policies to the White House.

Clinton: the establishment figure

On one hand, we’ve got Hillary Clinton, who is very much the "establishment" figure. She’s a Democrat and she’s well-known to be a fiscal conservative. So, those expecting to see helicopter money in the US might need to lower their expectations.

She’s also known to be a foreign policy hawk, so US involvement in places like the Middle East is likely to continue under a Clinton administration.

Her views on healthcare are well-known; she thinks it’s far too expensive so maybe people should keep an eye on healthcare stocks in the event of a Clinton victory.

Trump: the unknown

On the other hand, there is far less known about what a Donald Trump presidency might mean.

In terms of his policy, we all know about “the Wall” and we know that he wants to spend an awful lot more on defence; about $90 billion more per annum.

We also know he’s talking about a very, very big fiscal easing. This could be very stimulatory to the US economy and therefore the US stockmarket could really take off on the back of that.

Ultimately it all comes down to the will of the electorate, but who wins could be a crucial factor for people’s investment portfolios.

Important information: The views and opinions contained herein are those of the named author(s) on this page, and may not necessarily represent views expressed or reflected in other Schroders communications, strategies or funds. This document is intended to be for information purposes only and it is not intended as promotional material in any respect. The material is not intended as an offer or solicitation for the purchase or sale of any financial instrument. The material is not intended to provide, and should not be relied on for, accounting, legal or tax advice, or investment recommendations. Information herein is believed to be reliable but Schroder Investment Management Ltd (Schroders) does not warrant its completeness or accuracy. The data has been sourced by Schroders and should be independently verified before further publication or use. No responsibility can be accepted for error of fact or opinion. This does not exclude or restrict any duty or liability that Schroders has to its customers under the Financial Services and Markets Act 2000 (as amended from time to time) or any other regulatory system. Reliance should not be placed on the views and information in the document when taking individual investment and/or strategic decisions. Past Performance is not a guide to future performance. The value of investments and the income from them may go down as well as up and investors may not get back the amounts originally invested.  Exchange rate changes may cause the value of any overseas investments to rise or fall. Any sectors, securities, regions or countries shown above are for illustrative purposes only and are not to be considered a recommendation to buy or sell. The forecasts included should not be relied upon, are not guaranteed and are provided only as at the date of issue. Our forecasts are based on our own assumptions which may change. Forecasts and assumptions may be affected by external economic or other factors. Issued by Schroder Unit Trusts Limited, 31 Gresham Street, London, EC2V 7QA. Registered Number 4191730 England. Authorised and regulated by the Financial Conduct Authority.