Jeffrey Gundlach on next presidential elections
Jeffrey Gundlach accurately predicted Donald Trump’s victory in the 2016 elections. During his interview with Swiss financial publication The Market in April, excerpts from which were reproduced by Zerohedge, Gundlach said, “It’s too early to tell” regarding the 2020 election. He, however, mentioned that there is a high possibility that no one wins the Electoral College.
Advice to investors
Gundlach thinks that we could see violence and maybe even riots during the elections. In this context, it could be difficult for investors (SPY) (VTI) to make money. He thus suggests investors go back to “something as unspectacular as two-year treasury bonds.” In terms of corporate bonds (BND) (AGG), Gundlach has time and again mentioned that there is high-grade corporate debt. A large chunk of these bonds should be rated junk (JNK) instead of investment-grade.
Gundlach weighs in on presidential candidates
During his presentation at the Sohn Conference in 2019, Gundlach criticized Democratic presidential candidates (SPY). He bashed everyone from former Vice President Joe Biden to Beto O’Rourke to Senator Elizabeth Warren. Gundlach said, “Even as the Democratic Party has descended into vilifying success and even rags-to-riches hard-earned wealth unbeknownst to most people, there are no fewer than a dozen Democratic hopefuls who want to hide the fact they are one-percenters themselves.” He added, “But we’re not talking about income here, one-percenters, we’re talking about polling.” In conclusion, he said, “short them all.”