Elections Instead Of Accumulation Of Power

"Many people have availed themselves of the authority to cast their vote." Who talks like that? That's right, an Austrian politician on the Sunday following the 2024 National Council elections. 

All the fuss surrounding the vote is now behind us. But that doesn't mean that everything’s peachy from my perspective. A government still needs to be formed.

For investors, a crucial aspect will be which economic programs are implemented. Will there be future incentives for long-term wealth creation? Will new wealth taxes be introduced? Whatever happens, we cannot influence it. So there’s no use losing sleep over it. 

Democracy and free markets

On the international stage, Japan has a new Prime Minister in Ishiba-san. However, we’re not changing our Nippon allocation due to a change of the prime minister. And in the US, President number 47 will soon be elected. Regardless of the outcome, entrepreneurs will continue to focus on meeting customers needs and managing costs. They will adapt to the environment and face daily competition head-on.

The most crucial factor here is free markets – complete with all rules of the game and necessary regulations. Democracy must never be called into question. The certainty that the cards are reshuffled every few years through elections protects us all from the dangerous accumulation of power.

Since George Washington, the first US President after the American War of Independence, betting against America has never been wise. In the Gutmann equity strategy too, more than half of the companies are headquartered in the USA. The vast majority are active worldwide. 

Entrepreneurship increases wealth

The stock market will see both good years and bad. More often than not, it will go up. Nevertheless, we’ll face nerve-wracking bear markets. Looking back - and it doesn't have to be to as far back as 1789 - reassures us and shows impressively that entrepreneurship increases wealth. One must be convinced of this. Indeed, firmly believe in it. Otherwise, major price swings will knock us off track. 

Gutmann stands ready should difficult times return. We’ll be right there alongside our clients. We’ll inform, react and provide transparency. But I'll stop here – after all, I’m not on the campaign trail.