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Wealthy Investors and the Election: A Guide for Financial Advisors in 2020 - JulyINTRODUCTIONKEY CONCLUSIONS - JULYDuring 2020, Spectrem has been monitoringthe attitudes and fears of investors withthe goal of informing financial advisors andproviders how they should be working withtheir clients during this turbulent time. Andwhat a turbulent time it has become. Whilethe goal of the research was originally focusedupon the election, it would be imprudent toignore the impact of the pandemic, the riots,the Black Lives Matter movement and theongoing unrest in the country which certainlyis impacting the financial and investmentdecisions made by investors.1. There is overwhelming negativity regardingthe future of the U.S. economy in the nexttwelve months which will influence howinvestors make financial decisions.2. While Joe Biden is the preferred candidatefor many, there are many Undecided voters.Investors are voting against Trump ratherthan for Biden’s policies.3. Investors believe the market and theeconomy will do better if President Trump isre-elected.4. Investors feel similarly about many key issuesexcept those issues over which PresidentTrump has expressed a strong policy.This month, Spectrem interviewed 436individuals with net worth between 100,000and 25 million.TIPS FOR ADVISORS - JULYFINANCIALATTITUDES1. Wealthier investors seem more likely to turnto their advisor for investment advice duringthis volatile time than less wealthy investors.Be sure to reach out to all of your clientsregardless of wealth level.2. The election will be perceived by investors asa key event. Make sure you prepare them forany potential volatility regardless of outcome.3. Assisting clients in understanding the keymetrics of the economy in the next twelvemonths may be helpful in reactivating theirenthusiasm for investing.1 Spectrem Group 2020
Wealthy Investors and the Election: A Guide for Financial Advisors in 2020 - JulyTABLE OF CONTENTS021016INVESTORS AND THE ELECTIONFINANCIAL AND INVESTMENT ATTITUDESOUTLOOKCopyright Notice: Copyright Notice: The content of this report is owned by Spectrem Group and is fully protected bycopyright law. Our content may not be copied, reproduced, duplicated, displayed or distributed in print or electronic form, inwhole or in part, without the prior written consent of Spectrem Group. Republishing the content contained in the report in anyform, including without limitation the republication of company rankings for advertising, marketing or promotional purposes, isstrictly prohibited.Political AffiliationThis report in full or in part may NOT be posted to any website or released to a third party without requesting permission inwriting from Spectrem Group.January 2020February 2020Political AffiliationMarch 2020INVESTORS ANDTHE ELECTIONFebruary 2020March 2020January 2020Political affiliation has remained similar throughout 2020 with about a third of respondents31%32%identifying32%as Republican,a third as Democratsand a third as re based upon age with Democrats skewingyounger32%36% and Republicans appearing to33%35%be older. Independent voters do not varydramaticallybased upon age.PoliticalAffiliationPolitical AffiliationPolitical AffiliationPolitical AffiliationJanuary 2020February2020MarchJanuary2020 y2020 2020Political Affiliation February 2020January 2020February2020March 2020FebruaryMarch2020January202034% 202035%32%February2020JanuaryPolitical2020 MarchFebruary2020March 2020AffiliationFebruary 2020March202035% January 2020 34%32%31%32%32% 32% 36%January202032%February2020March 31%202033%31% 32%32% 31%PoliticalAffiliation32%33%32%33%January 202033%RepublicanRepublican32%Democrat33%35% 34%May 2020April 2020April 2020 35%33%35%35%32%Republican29%April t33%36%32%31%March 202036%33%35%31%31%32%32%32%36%33%34% 32%32% 35%35%June202032% 32% 35%31% 34%34%32% 36% 34%35% 35%35%31%DemocratIndependentJune 2020May 0%DemocratIndependentJune2020 RepublicanJune202032%May 2020May34%34%April34%202035%202032% 2020May 2020April 2020June30% May 202033%April 202034%36%RepublicanDemocratIndependentJune 2020May 2020April 2020June 2020May 2020 33%April36%202037%30%DemocratIndependent30%34%29% Republican34% 2020June 202030%29%May33%April30% 202029%36%33%34%37%36%37%33%30%29%37%36%33% 37%31% 34%June 2020 30%35%May 2020 29%April 202034%33%36%37%36%37%33%31% 34%30%35%29%33%31%35%33%33%31% 36%35% By Age33%37%31%35%30% 33%29% 35%34%33%31% 33%33%By Age35%35% WWII37%Baby BoomersMillennialsGen XBy Age 36%29%35%32%RepublicanApril 2020DemocratIndependent36%33June 2020May 2020By Age31%By AgeMillennialsGen XBaby BoomersBy Age WWII33%31%30%X35%29%MillennialsGenBaby BoomersWWII By Age Gen X19%By Age34%MillennialsBaby Boom33% lennialsGenBabyWWII WWII33%36%33%Republican33%36%46%31%35%19%46% 36%MillennialsGen %Republican31% 31%36%DemocratDemocrat Republican23% 29% 29%19%33%46%46%19%33%36% BoomersRepublicanByMillennialsGen X 31%BabyWWII rat23% ependentDemocrat36%Republican31%29% 36%31%36%Independent33% 31%36%DemocratDemocrat23%31% Independent46% Republican36%36%31%Democrat36%Independent36%36% 46%29%36%36%31%Independent23%IndependentDemocratBy 36%31%31%36% SpectremGroup 202036%36%31%
Wealthy Investors and the Election: A Guide for Financial Advisors in 2020 - JulyINVESTORS AND THE ELECTIONWho Will You beVoting for inNovember 2020?Half of investors will be voting for Joe Biden inNovember while a third indicate they will bevoting for President Trump. Keep in mind that17 percent remain in the Undecided or Othermode, thus potentially still making the race a50-50 tie should these individuals choose tovote for the President.1%2%15%33%49%President Donald TrumpJoe BidenUndecidedOtherI will not be voting in November of 2020Which of the Following are Most True?For those who support the President, theirsupport has not changed in the past fewmonths. Just over a quarter support thePresident no matter what, while half supportPresident Trump’s policies but not alwayshis commentary. The number of individualswho don’t support the President but feel thealternative is not much better has increased inrecent months.(Among those who indicate they would vote forDonald Trump or are Undecided)Apr-20May-20Jun-2027%I fully support thePresident and his policies29%28%53%I support the President’spolicies but am troubled byhis commentary at timesI support the President’spolicies but am afraid toacknowledge to others thatI will be voting for himI’m not fully supportive ofthe President but feel thealternative may not bemuch better353%47%4%4%4%16%15%21% Spectrem Group 2020
Wealthy Investors and the Election: A Guide for Financial Advisors in 2020 - JulyINVESTORS AND THE ELECTIONIndependent voters are critical to theelection of 2020. Almost a third of thesevoters indicate they will never vote forPresident Trump, however, 41 percent donot like the President’s personality butdo like his policies. Fifteen percent ofIndependents are afraid to acknowledgethey support the President. Eight percentare leaning towards President Trumpbecause they don’t like Joe Biden.Which of the Followingare Most True?(Among those who indicatethey are Undecided)Apr-20May-20Jun-2031%21%26%I will never vote for President Trump, butI am afraid the current Democraticcandidates are too far to the left38%35%41%I do not like the President’s personalitybut support his policiesI support the President’s policies but amafraid to acknowledge to others that Imay vote for himI do not like Joe Biden and I am morelikely to vote for President Trump4%1%15%17%8%I do not like Joe Biden and I probably will2%not voteof the Following are MostWhichTrue?(Among those who indicate they would vote for Joe Biden)May-20 areJun-20Which Apr-20of the FollowingMost True?I am trending more towards Joe Biden(Among those who indicate they would vote23%for Joe Biden)than President TrumpMost of the individuals who will vote forBiden are doing so simply because they hatePresident Trump. Only 5 percent support JoeBiden’s policies.70%11%Apr-20May-20I opposePresidentTrumpWhichof theFollowingareJun-20Most True?(Amongthosewhoindicatethey wouldvote forJoe Biden)WhichofandtheFollowingare MostTrue?and oteforJoe70%Biden)nevervoteforhimApr-20Jun-20I oppose PresidentTrump May-2070%Apr-20Jun-20and his policiesand will May-2076%70%never vote for himI oppose President Trump70%I opposePresidentTrumpand his policiesandwill76%16%hispoliciesandnevervote ushimpoliciesarevotetakingin the14%16%70%wrongdirectionI feel President Trump’s20%policies are taking us in the14%16%wrong directionI feel President Trump’s16%20%I feel Presidentpoliciesare takingTrump’sus in the14%policiesare takingus in the14%wrongdirectionI fully supportthepoliciesofwrong direction6% 20%Joe Biden20%I fully support the policies ofJoe Biden5%6%I fully support the policies ofI fully supportthe policies ofJoe BidenI will vote Joefor BidenJoe Biden, eventhough I supported anotherI willDemocraticvote for JoecandidateBiden, even5%6%6%5%4%5%though I supported another4Democratic candidateI will vote for Joe Biden, evenIthoughwill votefor Joe Biden,evenI supportedanother5%4% Spectrem Group 20205%4%
Wealthy Investors and the Election: A Guide for Financial Advisors in 2020 - JulyINVESTORS AND THE ELECTIONI AmI AmforforthetheRemovalRemovalof ofallallStatuesStatuesandandMonumentsMonumentsOver 30 percent of investors support norConfederateWarLeadersandSoldiersremoval of all statues that honor ConfederateWar Leaders and Soldiers. Democrats are15%15%much more supportive of this action than5%5%Republicans and 28%28%49%49%10%10%24%24% Spectrem Group 2020
Wealthy Investors and the Election: A Guide for Financial Advisors in 2020 - JulyINVESTORS AND THE ELECTIONI Am for the RemovalI Am For theI Am fortheRemovalI AmRemovalI AmChangingForI AmForoftheI Amthefor theOnly a quarter of investors support removalofofforall theStatuesand I Am forChangingMilitaryofallStatuesandofMonumentsall Statues andChangingof MilitaryChangingof call statues and monuments that honor esNamedAfterNamesofPublicHonor Past PeopleConfederate WarSchools Namedslave owners such as George Washington andPast PeopleHonorPastPeopleWarConfederateSchoolsNamedWho MayHaveBeen HonorLeadersSuch Waras Fort ConfederateAfterMay HaveBeenWho SlaveholdersMay Have Been Who LeadersLeadersSuchasFortSuchasFortAfterThomas Jefferson. Almost half of DemocratsBenning and ndFortBenningandFortConfederatesupport this initiative. Thirty-six percent ofBraggLeadersWarBraggBraggLeadersinvestors support changing the names of17%11%17%military bases named after confederate war6%17%11%17%11%17%4%5%Strongly agree37%4%5%6%4% 20%5%34%leaders. Again, Democrats are much moreStrongly agreeStrongly agree10%20%34% 37%20%9%12%34%10%supportive of this idea than Independents and9%12%12%9%20%14%19%Republicans. Thirty-seven percent support20%10%14%19%14%19%6%9%Agree6%9% 27%9% 10% 26%6%28% Agreechanging the names of public schools namedAgree25%28%27% 26%28%27%10%21%10%21%21% 25%10%after Confederate War 21%28%21%20%27%21%25%32%25% 27%32%25%of all Statues andChangingMilitary ChangingChangingtheof allStatuesofandof MilitaryChanging the17%21%16%Monuments Monuments that23%Bases NamedAfterNames of Public25%DisagreeHonor Past People9% onorConfederatePast PeopleWarConfederateWarSchoolsNamed 14%9% 16%10%10%16%14%24%Who May Have Been WhoLeadersSuchasFortAfterMay Have Been16%16%16%Leaders Such as FortAfter24%24%SlaveholdersBenning and FortConfederateWar25%29%29%SlaveholdersBenningand FortConfederateWar29%25%29% 51%29%29% 50%BraggLeadersStronglydisagreeBraggLeaders7% 51% 451%9%50%10%Strongly 50%disagreeStronglydisagree9%7% 22%9% 25%10%10% 25%25%25%22%25%25%17%11%17%17%11%17%6%4%5%ngly agree6%5%4%Strongly alRepublicaTotal 0% I Am ForDemocrats9%6%I Am forthe RemovaltheI AmforAgree26%28%27%I Am for 26%theI RemovalI Am FortheI Am forthe RemovalI AmFor theAm for27%28%25%10%21%ofallStatuesandof Military ChangingChangingthe25%21%10%of allChangingStatuesandof Militaryofall Statues andChangingof MilitaryChangingtheMonumentsthatBases NamedAfter BasesNamesofPublic20%Monumentsthat25%19%Named AfterMonumentsthatBasesNamed AfterNames of Public20%19%25%14% PastHonorPeople Honor15%11%ConfederateWarSchools WarNamedor disagree14%Past People11%Confederate15%ConfederateHonorPast PeopleWarSchoolsNamedNeither agreenor ter20%21%28%HaveBeen27%Leaders Such as Fort32%25%Who MayHave BeenLeadersSuch as FortWho
is impacting the financial and investment decisions made by investors. This month, Spectrem interviewed 436 individuals with net worth between 100,000 and 25 million. TIPS FOR ADVISORS - JULY 1. Wealthier investors seem more likely to turn to their advisor for investment advice during this volatile time than less wealthy investors.
