US Financial Titans Shift Focus with Biden Administration

Growing Influence in Economic Diplomacy Amid Biden's Increasing Election Prospects

[Asia Economy New York=Correspondent Baek Jong-min] The eyes of financial giants who dominate the global economy are turning toward Joe Biden, the Democratic presidential candidate.

[Image source=AP Yonhap News]

President Donald Trump gained significant benefits by expanding corporate profits through tax cuts and driving stock price increases, but now it is clear that preparations are underway for a post-administration transition.

At the Milken Conference, which opened virtually on the 12th (local time), many speakers presented forecasts and analyses regarding the aftermath of Donald Trump's potential defeat.

Scott Minerd, Chief Investment Officer (CIO) of Guggenheim Asset Management, claimed that Biden-themed stocks are performing much better than Trump-themed stocks, predicting that the trend is already in favor of Biden.

A representative example he mentioned is the clean alternative energy sector. According to him, the First Trust Nasdaq Clean Edge Green Energy Index Fund has risen nearly 100% compared to the previous year. The iShares Global Clean Energy Exchange-Traded Fund (ETF) is trading at its highest level since 2010.

Catherine Keating, CEO of Bank of New York (BNY) Mellon Wealth Management, focused on the possibility of short-term economic stimulus if Joe Biden, the Democratic presidential candidate, is elected.

Ray Dalio, founder of Bridgewater Associates, the world's largest hedge fund, warned of conflicts with China after the new government takes office. He stated, "Even if a new government is established, time is on China's side, not the United States'."

He also expressed concern, saying, "China is growing and probably doing better, so it will not be easy even if the new U.S. government takes office."

Founder Dalio mentioned, "During the COVID-19 crisis, China's economy rebounded faster than the U.S., and money flowed into major companies listed on the Chinese stock market." He also pointed out that China's interest rates are higher than those in the U.S., making it inevitable for funds to flow into China.

The nonpartisan think tank Milken Institute holds the Milken Global Conference annually, known as the American version of the 'Davos Forum.' This year, due to the COVID-19 pandemic, after two postponements, it is being held entirely online.

This content was produced with the assistance of AI translation services.