A millionaire Democrat donor, who was once listed as a billionaire by Forbes, says Democrat presidential candidate Joe Biden will be good for Wall Street in the long run.
Michael Novogratz, the former Goldman Sachs executive and hedge fund manager, told CNBC in an interview that while a Biden win against President Donald Trump may initially drag the market down, Wall Street will stand to benefit.
“I think Biden’s going to win. I hope Biden wins,” said Novogratz, who now runs an investment firm. “But if he wins, I think the market will go down, at least initially because he’s going to raise capital gains tax … he’s going to raise corporate taxes some and he’s going to raise personal income tax.”
“I think it’s probably better for the markets [if Biden wins] because the chaos Trump brings every week, every day just gets tiring,” Novogratz said.
Novogratz donated $200,000 to the Biden Action Fund in June.
Despite endorsements from Sens. Bernie Sanders (I-VT) and Elizabeth Warren (D-MA), Novogratz said Biden and running mate Sen. Kamala Harris’s (D-CA) platform “sounds a lot more conservative than the Republican team when you’re talking about their plans.”
“There’s going to be so much pressure to start redistributing wealth whether it’s paying for college, paying for loans, if it’s Medicare for All,” Novogratz said. “Those are things the Democrat Party cares about and there’s going to be pressure and maybe we’re not going to get all of those but we’ll be heading in that direction. So I don’t see our deficits miraculously collapsing.”
Biden and Harris have sought to distance themselves from their large Wall Street backing in recent weeks. Although Biden blasted Wall Street executives in a town hall with the AFL-CIO union, a new report revealed that the former vice president’s campaign has assured Wall Street donors that his administration will maintain an economic status quo to their benefit.
This month, Biden touted Wall Street’s support for his plan to abolish America’s suburbs by seizing control of local zoning laws to construct housing developments and multi-family buildings in neighborhoods. Likewise, Wall Street is fully behind Biden’s plan to hugely expand legal immigration levels, beyond already historical highs at 1.2 million green cards and 1.4 million visa workers a year.
The Biden-Harris ticket has elated Wall Street so much that for the first time in a decade, more financial executives are donating to the Democrat candidates than Republicans, the latest Center for Responsive Politics analysis reveals.
John Binder is a reporter for Breitbart News. Follow him on Twitter at @JxhnBinder.