Wall Street Pros Avoid Election Bets With Race Too Close to Call

With less than a month to go until election day, many hedge fund managers are taking a new approach: wait and see.

Jon Caplis shares some thoughts with Natalia Kniazhevich of Bloomberg on how Wall Street is approaching the election this year. Hedge funds are “waiting until there’s more clarity before making significant politically connected investment bets. It’s much easier to discern the investment impact of a Fed interest-rate cut than a hazy statement from the Trump or Harris campaigns.”

As we also shared, the approach has worked so far this year; US long-short hedge funds have posted an 11% gain through September, which is in the top quartile of rolling nine-month returns since 2010.