This week, we continue our election preview with the potential impact to financials post-2020. The election outcome will be closely watched for potentially significant regulatory shifts if Democratic regulators are installed under a President Joe Biden.
Keeping with our forecasted likely election outcomes, we take a look at the best positioned names in our coverage under the following scenarios: 1) a Democratic sweep (50%); 2) a Joe Biden Presidency with a divided Congress (Republicans keep the Senate - 10%); and 3) a continuation of the status quo (35%).
Notably, a Biden Presidency with a Republican Senate would be worse for the sector than a unified Democratic government, in our view.