Here’s what JPMorgan Chase CEO Jamie Dimon thinks will happen in the US election

JPMorgan Chase (NYSE: JPM) CEO Jamie Dimon is one of the most respected business leaders in the United States. Aside from Warren Buffett and maybe a few other A-List CEOs, Dimon’s letters to investors and general commentary on the economy and the stock market are some of the most followed by investors.

Unsurprisingly, Dimon has some interesting thoughts on the 2020 presidential election. The longtime CEO (who weighed his own presidential bid) recently shared his thoughts on whether we’ll have a contested election, how the results will impact the US economy, and more.

Image source: Getty Images.

Will the election run smoothly?

One of the biggest concerns heading into an election is that it won’t be a smooth process – in particular, that we will end up with a contested election result. But Dimon doesn’t think that will happen. In mid-October, Dimon told reporters on the bank’s quarterly earnings conference call: “I have great confidence in this country and I am sure we will have a proper election.”

“The peaceful and stable transition of power – whether it is a president’s second administration or a new administration – is a hallmark of America’s 244-year history as an independent nation,” Dimon said in a note to employees weekly. later. And Dimon went on to say:

Our long history of watching and celebrating our continued government is one of the most powerful symbols of that respect. While we understand that there is immense passion and strong opinions, the responsibility of each of us to respect the democratic process and the results of elections is paramount. It is the power of democracy.

What will happen to the US economy after the election?

In September, Dimon said whoever wins the White House is unlikely to have a big impact on the U.S. economy – at least not right away.

Dimon has warned of a “wealth tax” as several Democrats have suggested, but it is not one of former Vice President Biden’s plans. However, Dimon is generally in favor of increasing the Income wealthy tax rate. On the other hand, Dimon also said that President Trump’s tax policies have generally been positive for the U.S. economy and expressed support for the regulatory reforms that have been implemented.

Regardless of how the United States votes, Dimon is right that it will likely take some time before we start to see economic effects. the Tax Cuts and Jobs Act, which was the Trump administration’s most significant legislative achievement, was not passed until more than a year after Trump was elected president, and the economic effects took even longer to begin to kick in. take effect.

Who does Dimon want in the White House?

Dimon usually stops before expressing his own political views and he has given conflicting information. He has a history of contributing to the campaign efforts of mostly Republican candidates, but has called himself “barely a Democrat” and has been very critical of our current president in recent years.

In fact, in 2018 – when Dimon himself was considering running for president – Dimon said he could beat Donald Trump in an election “because I’m as tough as him, I’m smarter than him. him. ”On the other hand, Dimon criticized Democrats for attacking businesses, especially on the“ liberal side ”of the Democratic Party. Dimon’s stance on political issues, such as the need for a stimulus, is generally to call on both sides to compromise and get things done.

While Dimon (and JPMorgan Chase himself) would likely benefit financially from Trump’s second term, we don’t really know who Dimon is voting for or who he really is. wants to the White House.

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a premium Motley Fool consulting service. We are motley! Challenging an investment thesis – even one of our own – helps us all to think critically about investing and make decisions that help us become smarter, happier, and richer.

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