Trump Will Have a Big Impact on Client Portfolios

All the changes that are coming mean your clients will need your guidance more than ever. And weaving through all these issues is the biggest question of all: What will it mean for your clients’ investments?

There is substantial debate about how stocks will fare in the Trump administration. Will his tax cuts, and support for drilling, boost productivity — or will his tariffs and mass-deportation policies impede corporate profits?

Wall Street analysts disagree, but there’s one topic no one seems bearish about: crypto.

Trump has made it clear that he strongly supports crypto, as do a majority of members in the House and Senate — more than 275 of them, by one count. The Biden administration’s effort to prevent crypto companies from doing business in the United States will be immediately halted on Jan. 20 — as will Gary Gensler’s role as chair of the Securities and Exchange Commission.

Trump nominees Paul Atkins (SEC chair), David Sacks (AI and crypto czar) Scott Bessent (Treasury secretary), Howard Lutnick (Commerce secretary) and Kelly Loeffler (Small Business Administration head) are all strong proponents of digital assets, and they are widely expected to foster a regulatory environment that is the exact opposite of what the Biden administration and the Democrat-controlled Senate foisted on the industry.

More than 50 million U.S. adults already own bitcoin, institutional investors are buying at an unprecedented rate, and banks will soon be permitted to provide custody and trading services (something Biden vetoed). The spot bitcoin ETFs, still less than a year old, now own more than 1.1 million bitcoins — more than even owned by bitcoin’s inventor, Satoshi Nakamoto. Bitcoin options are now trading with trillions of dollars in notional value, and 2x ETFs are popular, as is MicroStrategy, which owns more than 430,000 bitcoins.

Watch for dozens more crypto ETFs to enter the market in 2025, increasing investor options: leveraged, option-based, active management and diversified funds are either already here or coming soon.

Bitcoin’s price has already risen 50% since the elections, and the crypto community is predicting huge price increases in 2025 — from 0.5x to 3x gains, putting bitcoin’s price a year from now anywhere from $150,000 to $300,000.

Your clients are watching everything that’s happening with crypto prices. If you haven’t already added crypto to your portfolio allocations, you’d better hurry — before you start getting questions from clients asking why you haven’t helped them invest in the fastest-growing asset class in history.

Yes, the next four years will be very different from the past four. Geopolitical issues include the fights of Israel and Ukraine for their survival, as well as threats from North Korea, Iran and China. Add climate change and all the financial topics mentioned above, and, well, you’re going to be busy helping your clients navigate it all.

Now is the time for you to get ready. And that’s a fact.