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Third Presidential Debate Puts These ETFs In Focus

Published 10/21/2016, 12:25 AM
Updated 07/09/2023, 06:31 AM

After the final presidential debate on October 19, it seems that the wind is in favor of the Democratic candidate Hillary Clinton. Investors should note that while Trump apparently lagged Clinton in the polls following his weaker performance in the past two debates, the final debate is also likely to be of less help (read: Clinton Apparently Won First Debate: ETFs in Focus).

The issues debated this time went beyond technology or innovation or automation. Below we highlight a few issues that were discussed in the third presidential election and its impact on the ETF world.

Clinton: Putin Wants Trump as President

Clinton, on the basis of reports from intelligence agencies and open source analysts, indicated that the Russian government is resorting to hacks and sending contents to WikiLeaks to help Trump to get to White House. Such activities strengthen the growing need for ETFs like PureFunds ISE Cyber Security ETF HACK and First Trust NASDAQ Cybersecurity ETF CIBR (read: Prepare for a Clinton Presidency with These Stocks & ETFs).

It is clear by now that Clinton’s policy is being viewed as an extension of president Obama’s policies. Given the current U.S. government’s sanctions over Russia on the Ukraine issue and all, it is pretty clear why Russian president Putin would support Trump. In a nutshell, Russia ETFs like VanEck Vectors Russia ETF RSX would be in focus in the context of the U.S. presidential election.

Clinton In Support of Women's and LGBT Rights

Hillary Clinton made it clear that that “we need a Supreme Court that will stand up on behalf of women's rights, on behalf of the rights of the LGBT community.” This statement is enough to shift investors’ attention toward ETFs like Barclays (LON:BARC) Women in Leadership ETN (LON:WIL) and SPDR SSGA Gender Diversity ETF SHE. As the names suggest, these ETFs focus on companies with women in leadership positions or showing gender diversity in their senior ranks (read: Successful ETF Launches of Q1).

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Trump’s Mexico Wall

Trump seeks to build a wall along the U.S. southern border to keep Mexican immigrants away and wants Mexico to pay for it. On this issue, the Mexican president said, “We're not paying for that wall.” So, Mexican peso and the Mexico ETFs like iShares MSCI Mexico Capped ETF EWW were very much on the investors’ radar in the context of the third debate and will remain so in the coming days (read: Behind the Post Presidential Debate Surge in Mexico ETF).

Geopolitical Crisis

Trump blamed Clinton of favoring destabilization in the Middle East, especially noting her nod to the Iraq war. On the other hand, Clinton accused Trump of an inclination “for the invasion.” In both ways, geopolitical tensions remain in focus which in turn will likely shower safe haven ETFs like SPDR Gold Shares (NYSE:GLD) (V:GLD) , CurrencyShares Japanese Yen ETF (NYSE:FXY) FXY and iShares 20+ Year Treasury Bond (NASDAQ:TLT) (V:TLT) with occasional gains.

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ISHARS-20+YTB (TLT): ETF Research Reports

SPDR-GOLD TRUST (GLD): ETF Research Reports

CRYSHS-JAP YEN (FXY): ETF Research Reports

PURFDS-ISE CYBR (HACK): ETF Research Reports

ISHARS-MEXICO (EWW): ETF Research Reports

FT-NDQ CYBERSEC (CIBR): ETF Research Reports

SPDR-SSGA GD (SHE): ETF Research Reports

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VANECK-RUSSIA (RSX): ETF Research Reports

PWRSH-KBW BP (LON:BP

BARCLY-WOMEN IL (WIL): ETF Research Reports

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Zacks Investment Research

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