It’s clear from history that whoever sits in the Oval Office has a big impact on the economy. That can easily trickle down to your own wallet and investment portfolio. What will 2025 look like when Donald Trump returns to the White House?
It’s a question on the minds of professional and amateur investors during the start of the new year. Perhaps even more so than with other presidential transitions given the weight of some of the proposals Trump is looking at when he returns as Commander in Chief. Specifically, his ideas for deportations, tariffs, the military and financial deregulation.
Money expert Jaspreet Singh highlighted these areas on his Minority Mindset YouTube channel. He talked about how Trump’s proposals in these areas could impact the economy and provide opportunities for investors.
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Private Prison Companies
Singh started by talking about Trump’s plans for mass deportations. Singh said from a business perspective, private prison companies may benefit from mass deportations.
Back in November, for example, Bloomberg reported that private prison stocks soared after Trump’s win amid expectations for mass deportations. Private prison companies may be an area for you to consider as an investor in 2025.
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Real Estate and Railroads
Another set of controversial proposals from Trump concerns tariffs. These could potentially make it more expensive for companies to do business outside of the United States.
Singh noted companies may raise prices or move their manufacturing to other locations. The Minority Mindset Youtuber said if more manufacturing comes back into the U.S., it could benefit railroads and real estate companies. These might be areas for you to look at as an investor this year.
Defense Contractors
Trump has also talked about investing in the military. Singh said such a move could pay off for you as an investor because more money for the armed forces means the military will be buying more goods from companies.
“If the government actually invests in the military, they could potentially give more and larger contracts to some of these defense contractors,” Singh said. “The largest defense contractor in the world is Lockheed Martin, which is a United States-based company, also trades on the stock market. It could potentially be getting some of those contracts.”
Bank Stocks
Singh discussed how President-elect Trump has talked openly about deregulating the financial service industries. The Youtuber said, in general, regulations make doing business a little more difficult.
If you’re an investor, you may want to keep a close on how any moves by the Trump administration concerning these regulations are impacting the banks, investment companies and financial institutions you use. As CNBC reported, the stock market has already seen some good news for bank stocks as traders showed excitement about another Trump presidency.
Singh said other areas to watch for potential ways to profit from the Trump presidency include space, oil and gas deregulation and tax cuts. As always, it can be helpful to talk to a professional for advice about investing and saving, particularly in a year with a presidential transition.
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This article originally appeared on GOBankingRates.com: 4 Ways To Profit From Trump’s Presidency in 2025, According To Jaspreet Singh
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