Wall Street is avoiding Trump. Campaign donations to Biden are five times larger


The securities and investment industry donated just $ 10.5 million to Trump’s presidential campaign and outside groups aligned with it, according to a new tally from OpenSecrets. He sent nearly five times the money, $ 51.1 million, to Democratic presidential candidate Joe Biden.

This means Trump is losing the fundraising race among Wall Streeters on a slightly larger scale than in 2016. During that cycle, former New York Senator Hillary Clinton and groups aligned with her have raised $ 88 million from the securities industry and $ 20.8 million.

In some ways, Wall Street’s preference for Democrats over the past two presidential cycles makes sense. After all, many people who work in the industry reside in deep blue cities like New York, Boston, Chicago, and San Francisco.

“The biggest problem is where you live versus where you work. It’s that simple, ”said Ed Mills, policy analyst at Raymond James.

In 2008, the securities industry donated $ 19 million to Barack Obama’s campaign, nearly doubling the $ 10.4 million raised by Republican Senator John McCain, according to OpenSecrets.

Blue Wave feared on Wall Street

And yet, the fact that Trump has been frowned upon – by a wider margin so far than Republicans have been in 2008 or 2016 – is surprising as analysts warn his opponent could be a nightmare for Wall Street. .

Consider that S&P Global Market Intelligence recently estimated that Biden’s plan to raise the corporate tax rate could drop the profits of America’s ten largest banks by $ 7 billion each year.

Boutique investment bank Keefe, Bruyette & Woods (KBW) told clients on Friday that the best-case scenario for big bank stocks is a victory for Trump with the GOP’s continued control over the US Senate. This would mean maintaining light regulations and low taxes.

The worst-case scenario, according to the bank: A blue wave that gives Democrats control of both the White House and the United States Senate, paving the way for higher corporate taxes, higher corporate taxes. wealthy and tighter banking regulations.

KBW is so worried about a blue wave that, incredibly, it ranks it as an even worse scenario for the big banks than a contested election that causes serious turmoil in the market.

Let that sink in for a moment.

But all the big banks are backing Biden

But a CNN Business analysis of OpenSecrets research shows Biden beats Trump at raising funds from all of the major U.S. banks – in some cases with large margins.

For example, Biden raised $ 156,584 from individuals at Goldman Sachs (GS), according to OpenSecrets. With just $ 11,943 in contributions, Trump ranks 45th among federal campaign recipients – well behind House of Commons Speaker Nancy Pelosi, US Senator Lindsey Graham, Graham opponent Jaime Harrison and Andrew Yang, a CNN political commentator who called for a universal basic income.

But it’s not just Goldman Sachs, whose employees have always backed Democrats. (Former Goldman Sachs CEO Jon Corzine went on to serve as Democratic governor and U.S. senator from New Jersey.)

AT Citigroup (C)Trump has been criticized by Biden as well as Pete Buttigieg, Bernie Sanders, Yang, Vice Presidential Candidate Kamala Harris, and US Senator Doug Jones.

Trump only raised $ 86,083 from JPMorgan Chase (JPM), the largest American bank. At $ 379,057, Biden raised three times as much as JPMorgan’s Trump. Trump was also behind Buttigieg and Sanders at JPMorgan.

Biden raised more than twice as much ($ 257,821) from Morgan Stanley (SP) like Trump a ($ 96,010), according to OpenSecrets.

The two candidates are closer in some other big banks. AT Wells Fargo (WFC), Biden raised $ 267,000, compared to Trump’s $ 194,000. Sanders, who finished his campaign in April, is right behind Trump at $ 189,000.

At Bank of America, Biden raised $ 275,200, compared to $ 164,911 for Trump.

Biden was seen as an ally of the credit card companies

Compare this to 2012, when Wall Street sent $ 63.9 million to Mitt Romney, the GOP presidential candidate and a former private equity executive, according to OpenSecrets. Obama has only raised $ 19.4 million from the industry during this cycle.

Sheila Krumholz, executive director of the Center for Responsive Politics, which manages OpenSecrets, said Wall Street may have some level of comfort with Biden. Not only was Biden a vice president for eight years, but for decades he represented Delaware, a state that is home to major credit card companies.

“Biden was considered a close friend of major credit card companies for many years. He is certainly not the head of the left wing of the party, ”Krumholz said.

In other words, if Sanders or Senator Elizabeth Warren were the Democratic nominee, the fundraising totals could be very different.

Actions work best when a Democrat is in the White House.  History proves it

It’s not just Wall Street that is snubbing Trump. The broader sector encompassing finance, insurance and real estate also tilts sharply in the blue, sending $ 86.7 million to Biden and outside groups that back the Democrat. In contrast, Trump received only $ 50.4 million from the financial sector.

Trump is even close behind Biden in fundraising for real estate, the area where he has made a name for himself on the national stage. Biden and outside groups aligned with him raised $ 19.8 million from real estate, compared to $ 16.7 million for Trump.

Fundraising totals suggest that many in the financial world have decided to live with a Biden presidency, even if that risks paying out smaller paychecks.


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