US election: What will it mean to equity markets?

Two candidates offer voters, and the markets, very different policies

Historically, the party affiliation of the White House occupant has been an inconsistent predictor of future equity market returns.

The Republican Party is typically characterised by policies deemed more market supportive, however, since the beginning of the post-war period average annualised returns have been below average for Republican Presidents. There are other, more significant, factors that contribute to market returns over the course of a president's tenure, as Covid-19 has demonstrated thus far this year. The implications of the policy differences between the two candidates in this election this year are considerable and could result in bifurcations between and within certain sectors of the economy depending...