Money and Politics News of the US Presidential election is dominating the media. With our economic connections to our neighbours to the south, many Canadians have found themselves wondering just how concerned they should be getting. It's hard to ignore the headlines telling us to move all our money to cash but how should this impact our investment decisions? The best way I've heard this described is as follows: the markets like to price in the probability of different events happening, which is why a news headline can move the markets. With the election there has been very limited data about the candidates platforms. This is what is causing a lot of the uncertainty: beyond the rhetoric, we just don't know what each candidate will actual do. However, the process of government in the US has policy implementation voted on by the House and Senate, so the party composition here also matters. If you got a Democratic president and Republican Senate, very little would actually happen. The reverse is also true and each vote doesn't necessarily have to follow party lines. While political decisions can hamper the effectiveness of business, by its very nature, businesses are very resilient and will find a way to make a profit. Remember that you are investing in real companies that provide goods and services. If you would to have a discussion about what you need to do to prepare, give us a call at 604-521- 3778 or send us an email at christine@braunfinancial.com. We're always happy to help.

http://theexperts.ca/blog/2016/10/15/burnaby-financial-insurance-investment-planner-christine-conway-cfp-chs/

Money and Politics

News of the US Presidential election is dominating the media. With our economic connections to our neighbours to the south, many Canadians have found themselves wondering just how concerned they should be getting. It's hard to ignore the headlines telling us to move all our money to cash but how should this impact our investment decisions?

The best way I've heard this described is as follows: the markets like to price in the probability of different events happening, which is why a news headline can move the markets. With the election there has been very limited data about the candidates platforms. This is what is causing a lot of the uncertainty: beyond the rhetoric, we just don't know what each candidate will actual do.

However, the process of government in the US has policy implementation voted on by the House and Senate, so the party composition here also matters.

If you got a Democratic president and Republican Senate, very little would actually happen. The reverse is also true and each vote doesn't necessarily have

to follow party lines.

While political decisions can hamper the effectiveness of business, by its very nature, businesses are very resilient and will find a way to make a profit. Remember that you are investing in real companies that provide goods and services.

If you would to have a discussion about what you need to do to prepare, give us a call at 604-521- 3778

or send us an  email at christine@braunfinancial.com.

We're always happy to help.