As this year comes to a close – I can say with confidence that the U.S. 2024 election will be nothing like anything the world has ever seen before.
We have the two oldest candidates in history, a likely recession, up to four criminal trials – and that’s just what we know is coming…
The drama that will play out on national public television will be absurd.
Even the last 24 hours of TV coverage and online news articles (highlighting the clash between President Joe Biden and former President Donald Trump over the future of our healthcare system) has made me dread what’s coming…
It will only get worse in 2024. You will hear wild calls about how this candidate or that candidate will make or break the economy, as well as your portfolio.
And while I agree that each candidate will impact the economy, I want to be very clear about something – the U.S. economy is far more adaptable and more money-driven than some might realize.
Today, I’ll prove that while elections matter to the country, they don’t matter to your portfolio.
I’ll also share an opportunity for you to invest in a 7.6%-yielding stock that will thrive and can fund your retirement… No matter who wins the 2024, 2028, or any other election.
Elections Matter – Just Not for Your Portfolio
The greatest investors in history don’t make investing decisions based on politics.
As Warren Buffett put it, “If you mix politics and investing, you’re making a big mistake.”
And he’s right.
Buffett recognizes portfolio returns are not solely at the mercy of who gets elected in Washington D.C. They can’t be.
The U.S. economy is the most dynamic in the world. And our companies are world-beaters, run by the most skilled and adaptable management teams.
They get paid the big bucks to adapt and overcome when bad things happen. And here’s proof…
Below are the historical stock return averages for all stocks based on which party controlled which branch of government at the time.
(Source: Forbes)
Yes, elections matter in terms of policy. But Americans have always adapted and thrived no matter what is happening in Washington.
Beware the “Obvious” Stock Picks
When investing during an election year, the most dangerous talking heads are the media stock pickers you see in online articles or on TV.
They will throw out smart-sounding picks based on the current administration and assure you that you’ll make a boatload of money.
For example, “If Obama wins, green energy will slam dunk, and oil stocks will crash. He’s pro-green energy and hates oil.”
And another example, “If Trump wins, energy stocks will sour; it’s a slam dunk. He’s pro-oil. And green energy stocks will tank because he’s promised to pull the U.S. out of the Paris Agreement on Climate Change.”
Both sounded reasonable at the time, right?
Well, here’s what actually happened…
(Source: Ycharts)
The exact opposite… Green energy stocks tanked under Obama and were positive under Trump. While oil bottomed out under Trump and came back under Biden.
We won’t get into the geopolitical reasons this happened. But this is proof you shouldn’t base your investment strategy on assumptions of what stocks will do and what policies will actually make a difference to companies in any sector.
The reality is – money talks. And strong companies with excellent fundamentals will succeed no matter which political party is in the power seat.
A 7.6% Yielding Retirement Stock – No Matter Who Wins the Presidency
At Wide Moat Research, we know what matters and what we should ignore… What is a risk to your savings and what is just dangerous noise spewed by a media trying to sell ads and make a buck during an election year.
Instead, we focus on the fundamentals of each pick we share with you, so you can achieve your income-lush retirement dreams.
And one pick we recently recommended in our Intelligent Income Investor service is a dividend stock yielding an incredible 7.6%.
As I like to say – stock prices are vanity, cash flow is sanity, and dividends are reality.
And this dividend aristocrat has raised its dividend every single year for 28 years.
It has the second-best credit rating in its industry, with a 100-year plan to cash in on a $390 trillion global megatrend. And management says it will grow at 5% or so for decades.
Over the course of its 74 years, this ultra-yield retirement dream machine has survived every possible election outcome and faced inflation as high as 15% as well as interest rates as high as 20%.
This is the kind of company we recommend to members of our Intelligent Income Investor service, so they retire rich and stay rich in retirement… No matter what the election outcome.
So if you aren’t already a member, click here to learn more.
Safe Investing,
Adam Galas
Analyst, Intelligent Income Daily