Does Ichan Believe Trump’s Policy Will Bring Economic Growth?
Carl Icahn on Donald Trump
Billionaire fund managers such as Carl Icahn and Jeffrey Gundlach already stated that they believe that Donald Trump would win the US Presidential race. Carl Icahn is a big supporter of Donald Trump. He believes that under a Trump presidency, the US economy (IWM) (IWF) will grow at a faster rate and the economy (VOO) (IVV) will see a stronger business climate.
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Infrastructure investment during Trump presidency
According to Carl Icahn, Donald Trump’s policies on infrastructure investment and corporate tax rates could bring economic growth. Trump is more comfortable with debt. Under Trump’s presidency, we could expect that the US (QQQ) (IWM) budget deficit will widen.
In his election campaign, Trump promised to invest in infrastructure, build up defense, build a wall on the US-Mexico (EWW) border, and create jobs. His focus on defense could boost the US defense sector (ITA) (XAR). Trump promised to invest massively in infrastructure partly funded by government bonds, while Democrat candidate Hillary Clinton promised to invest $275 billion through business tax reform. With a huge investment in infrastructure, Trump wants to create more jobs.
In the healthcare division, Hillary Clinton supported Obama’s health care reforms known as “Obamacare,” while Donald Trump said he wanted to replace this reform. The possible replacement of Obamacare might be an opportunity for healthcare stocks.
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