This week, I’m talking about investing in an election year. 

And today is election day! So I want to talk today about what a possible blue wave could mean for you. By blue wave I mean Biden taking the White House and democrats controlling Congress. This scenario would represent the biggest possible change to our political system and the economy, and could impact everything from taxes to the environment, to trade. 

Potentially the biggest impact from a democrat sweep of the White House and Congress is taxes. Biden and most democrats are pretty clear about their intentions to raise taxes - both on individuals and corporations. 

This could have significant implications for your estate planning, capital gains, etc. so if the country turns blue after today’s results, the prudent thing to do especially if you have a high income or wealth, you’ll want to consider accelerating some of your estate planning and tax strategies before tax laws change. 

Not only could taxes go higher for individuals, but higher corporate taxes could result from the election as well, which could lower profits for US companies, and hence, put downward pressure on stocks of these publicly traded companies. 

Ensuring you have high quality companies in your retirement portfolio with strong cash flow and room for some profit squeezing will help insulate your portfolio from the negative impact of higher corporate taxes. 

Stricter regulations on environmental industries, particularly oil companies is also likely in a blue wave election result, which could hurt a badly battered energy industry even more in the coming weeks. 

Of course, depending on the election results tonight this could all be moot but it’s important to consider the implications on the election and your money. 

That’s it for today. Be sure to tune in tomorrow and for the rest of the week where I’ll be talking about the likelihood for higher volatility in the days and weeks ahead and what else will and won’t change after the election. 

Thanks for listening. My name is Ashley Micciche and this is the One Minute Retirement Tip.

----------

>>> Subscribe on iTunes: https://apple.co/2DI2LSP

>>> Subscribe on Amazon Alexa: https://amzn.to/2xRKrCs

>>> Check out our blog: https://truenorthretirementadvisors.com/blog/

----------

Tags: retirement, investing, money, finance, finances, financial planning, retirement planning, saving money, personal finance, wealth management, money tips, fee only financial advisor, financial planner, financial podcast, retirement podcast, financial independence podcast