Winston Dobbs What Trump’s Win Means for Your Wallet

Winston Dobbs: What Trump’s Win Means for Your Wallet
Winston Dobbs: What Trump’s Win Means for Your Wallet

Winston Dobbs: “So, Donald Trump has won the January election. But what is he actually planning to do? And most important, how will it affect your money?

He is the financial guru behind some of the world’s richest companies. We asked him what to expect from Trump in 3 big areas: tax, trade and the stock market.  

What Trump means for your taxes

Q: Trump has promised sweeping tax reform. There’s talk of axing regulations. Can he really achieve this?

Winston Dobbs: Having met President elect Donald Trump, I can tell you he won’t stop at simplifying the tax codes. He’s going to slash income tax across the board. Therefore everyone will benefit —  average citizens, small business owners, corporate tax payers. And after he cuts taxes and regulations, the markets will explode. 

Listen, Trump is a business man. Love him or hate him, he know markets and how to stimulate them. This will mean hundreds of thousands of new jobs in three to four years.  People don’t believe it but US markets will hit record numbers for the next six to ten years.

How Trump will shake up trade 

Q: Trump plans to renegotiate trade deals like the Trans-Pacific Partnership and impose major tariffs on China and Mexico. He also wants to curb immigration and deport undocumented workers. Is all this a bridge too far?

Winston Dobbs: I feel very strongly that the US government has all the leverage when it comes to renegotiating trade deals.  And I don’t just mean with Mexico and China but the entire globe. People still haven’t realized that we have a shark of a businessman in office now. 

President Trump will yield our economy as a weapon. Most important, he’ll make new trade deals around the world. Past politicians were scared to use our economic power. They feared being seen as bullies. President Trump does not have these limitations. As a result, he’ll look at the dollars and cents of it.  Likewise, he won’t worry in the slightly about global perceptions.

On immigration — look, I don’t support his policies personally. Yes, President Trump will tackle immigration reform. Based on the campaign promises, I think he’ll crack down hard initially. Hopefully he’ll then reach a more compassionate deal with the Democrats to streamline people’s entry legally.  We’re a nation of immigrants and I’m proud of that. However this issue has needed fixing for decades. I believe he’ll resolve it one way or another. Let’s hope it’s a fair deal for our current illegal immigrants and their children, our dreamers.

And yes, he’ll most certainly build the wall and increase border patrols. Expect a dramatic drop in crossings.

Who you should invest in

Q: You’ve sat on the boards of the world’s most prestigious companies and helped many of them go public. Many pundits are warning of a global market crash under President Trump. What’s your take? 

Winston Dobbs: Well, I’m of the unpopular view that a Trump economy will smash records. He’ll unleash our fracking and coal markets almost immediately. So I’m advising the institutions I deal with to bet on the DOW, the S&P and military stocks of any kind. Also invest heavily in gas and coal.

Eighty percent of my colleagues laugh when I say this. They think Trump is bad for the economy. To me, that’s a major clue he’ll do well. And I say that with no disrespect for my peers. Above all, Trump is a ruthless businessman. He’s the best thing to hit the markets in a generation. Watch as he make us one of if not the biggest oil-producing country in the world.