Will the Markets get Trump’d |

Trying to predict who will be the next president is a sport on Wall Street. Hedge funds and banks spend enormous amounts of money, time and resources on trying to get an edge on who will win. The 2016 president election will dramatically change the asset allocation and exposure of everyone’s portfolio.

A few elections ago, when I was working on Galleon Group’s trading desk, we spent all summer devising a game plan for each of the candidates: George W. Bush and Al Gore. We thought Bush would be great for health-care and defense stocks but Gore would be better for all other sectors. So we planned accordingly, even up to the recount in Florida.

In normal election years, it’s much easier to quantify which candidates will be good for the market versus the ones that will weigh heavily on it. Typically it’s like predicting the outcome of a bowling ball and a feather put on both sides of the scale — one will go up and the other down. But this is anything but a typical election year. There is … the Trump factor.