Trump and Biden's CEO Faceoff… Invest Like Nancy With New ETF? + WSB’s Degen of The Week

Trump and Biden's Face-Off: The CEO Edition

In Washington, a high-stakes meeting unfolded with both Trump and Biden’s representatives pitching their economic visions to a group of top CEOs. Here's a breakdown of their contrasting approaches.

Trump’s Pitch: Cutting Taxes Like It’s 2017

Former President Donald Trump addressed the Business Roundtable, advocating for an additional cut to the corporate tax rate, bringing it down to 20%. Building on his 2017 tax cuts, Trump emphasized the benefits of lower taxes, reduced inflation, and increased oil production. His message was clear: lower taxes will stimulate economic growth and stability. Think of it as Tax Cuts 2.0, the sequel. For investors, this means potentially higher profits and a more robust market. If you liked the first round of tax cuts, you'll love this new edition.

Biden’s Team: Emphasizing Global Alliances

Jeffrey Zients, stepping in for President Biden, who was off in Italy with the G7 crew, presented a different perspective. Zients highlighted the importance of global alliances and how they bolster American businesses. He pointed out that Biden's approach has helped the U.S. recover post-pandemic by maintaining strong international relationships and supporting supply chains.

Zients also took a jab at Trump’s tariffs and his attempts to control the Federal Reserve, suggesting that Biden’s steady hand on the global stage is what investors need for a stable and thriving market. It’s a bit like saying, “Why pick a fight when you can make friends and keep the cash flowing?”

The Business Roundtable’s Big Play

The Business Roundtable, representing over 200 CEOs, launched a campaign to maintain the corporate tax rate at 21%. They’re putting their money where their mouth is, launching a $10 million campaign to protect those sweet 2017 tax cuts. For traders, lower corporate taxes mean companies have more to invest in growth, which could lead to better returns.

CEOs like Jon Moeller from Procter & Gamble are sounding the alarm: higher taxes could mean higher prices for consumers, slower wage growth, and less money in shareholders’ pockets. It’s a direct call to investors to keep an eye on tax policies that could impact their portfolios.

The Big Picture

As the 2024 election heats up, Trump and Biden’s economic philosophies are clear. Trump is pushing for deeper tax cuts to fuel growth, while Biden is banking on global partnerships and strategic investments. Both sides are making their case to the business world, and the stakes are high for investors and traders.

Keep your eyes on this evolving narrative. Whether you're bullish or bearish, this political drama will have significant implications on the markets.

WSB’s Degenerate of The Week

(Like Dunder Mifflin’s “Dundie Awards” But for Traders)

Today’s degenerate trader of the week goes to… WackFlagMass.

Who put his “family jewels” on the chopping block and somehow managed to stay intact.

Not only that, but he made nearly $100k in 1 hour betting the farm on Nvidia…

And according to him, he achieved this with his first options trade.

Let’s look at the wealth of knowledge this stock trading thirst-post received:

Remember, don’t try this at home folks.

People that do this kind of stuff with their life savings should be studied in a lab.

Stay tuned for next week’s winner.

Trade Like “Nancy” with Two New Politician-Focused ETFs

Alright, folks, ever fancied trading stocks with the insider savvy of a D.C. bigwig without the hassle of running for office? Now you can, thanks to two spanking new ETFs: NANC and KRUZ. These funds won’t transform you into a political hotshot, but they do let you invest based on political party lines. Let’s dive in.

NANC: The Democrat Darling

The Subversive Unusual Whales Democratic ETF, or NANC, lets you invest in stocks that Democratic members of Congress and their spouses are buying or selling. This fund's ticker is a nod to a high-profile House Democrat known for her trading chops. You know, the one who went to the hair salon without a mask after criticizing the President for not wearing one?

Behind NANC is Subversive Capital Advisor LLC, a small but ambitious firm out of New York, managing a modest $13 million as of Q1 2023. The data for NANC comes from Unusual Whales, a platform tracking Congressional trades.

Since NANC hit the market on February 7, 2023, it’s shown a bit of sparkle, outperforming the iShares Core S&P 500 ETF (IVV) by 2.3% up to June 21, 2023. However, it's still early days to claim victory.

KRUZ: The Republican Contender

On the other side, we have KRUZ, Subversive’s Republican-flavored ETF, echoing a prominent Republican senator’s name. KRUZ follows the trading habits of Republican lawmakers and their spouses.

KRUZ also started trading on February 7, 2023, but it’s lagging behind IVV, showing a small dip of 0.01%. Like NANC, KRUZ aims for long-term gains but hasn’t yet proven its worth.

Whale Watching on Capitol Hill

Thanks to the Stop Trading on Congressional Knowledge Act of 2012, members of Congress must disclose their trades, albeit with some delay. These disclosures, called Periodic Transaction Reports (PTRs), provide a glimpse into the trading activities of our legislators.

If you’ve got the time and patience, you can dig through PTRs on Senate and House websites. But for those who prefer their stock tips on a silver platter, ETFs like NANC and KRUZ do the heavy lifting, offering a curated portfolio based on these disclosures.

The Bottom Line

So, can you really trade like a Washington insider? While it sounds juicy, the lag in trade disclosures and the vague trade sizes make it tricky to mirror Congressional trades with precision. Plus, these ETFs haven’t been around long enough to guarantee they’ll outperform the market.

In the end, if you’re keen on mixing politics with your portfolio, NANC and KRUZ are your go-to. Just remember, investing isn’t a sprint—it’s a marathon. And these ETFs? They might just be the latest sneakers in the race, but they won’t necessarily make you Usain Bolt.

(Stock.News does have positions in The Procter & Gamble Company, mentioned in article.)