Investors may be thinking how tomorrow’s election will impact their portfolio, but there probably won’t be much impact at all, according to BusinessWeek. A shakeup in the Beltway probably wouldn’t shake up a well-diversified portfolio, analysts say. “There’s no evidence of a statistically significant relationship between political control of Washington and the stock market,” said Mark Riepe, senior vice president at the Schwab Center for Investment Research, a division of
However change in Washington might bring new risks—or some advantages—for a few specific stocks and industries. While a Democratic majority in either chamber could still face presidential vetoes, any change in leadership might change the topics of discussion on the Hill. Companies in the pharmaceuticals and energy sectors might be affected, analysts say.
Among the stocks widely expected to get hurt by Democratic gains are drug makers, such as
The staff of Money Management Executive ("MME") has prepared these capsule summaries based on reports published by the news sources to which they are attributed. Those news sources are not associated with MME, and have not prepared, sponsored, endorsed, or approved these summaries.
