Politics vs. Stocks

^{The Weekly Habit}

^{This is a live poll. Results will change over time.}

The Pew Research Center asked Americans the same question.

Polled republicans were 5x more likely to share a positive opinion about the economy during a Republican president, meanwhile Democrats were more likely to share a positive opinion about the economy during a Democratic president.

During this study, J.P. Morgan’s Asset Management group found that average annual returns (S&P 500) were almost identical.

In other words, despite what people may have felt, the market conditions during each presidency were very similar.

Obama (‘09-‘17): +16.3% average annual returns

Trump (‘17-‘21): +16.0% average annual returns

By the way… those are both higher than the average return over the last 30 years (+10.1%). See below for a visual breakdown.

_{Haven’t heard of Habits? Curious to learn more?}

Key Takeaway from our CEO, Jack Boudreau

Consumer confidence is biased amongst political parties. I’m glad to have good advice from my financial advisor to ignore the political noise and invest based on when I’ll need those funds (house, retirement, etc.).