Kamala’s capital gains tax

It’s not going to do anything to help anyone. It’s only going to further alienate business owners and affluent swing voters who detest Trump personally and are possibly in play for the Democrats. This only makes it so they’re not in play as much. But she’s trying.

We keep hearing about how “college educated males” in purplish states like Georgia or Pennsylvania either swung to Biden in ‘20 or abstained from voting altogether (which probably meant a downside surprise for the Trump campaign). Will they show up for Kamala Harris this time? This is a big question in some fairly important districts.

I know these people. They don’t like disrespect for the police. They don’t like out of control illegal immigration. And they really don’t like to see success and hard work be “punished” either via rhetoric on the campaign trail or through tax policy. Their Numbers One and Two priorities are the physical safety of their families and the ability to make as much money as possible throughout the course of their lives. Nothing else even comes close. Not reproductive rights, not Ukraine, not Israel, not Jan 6, not Obamacare, not Hunter’s laptop, not Stormy Daniels, not trans athletes in the Olympics, not the environment.

You can say what you will in response to these priorities, I’m just telling you where this demo’s collective head is at. Go ahead, get mad, let it out…

Anyway.

That’s why you’re seeing the Harris campaign break from Biden’s economic platform on this singular issue of capital gains. I think it’s still going to hurt her chances more than it’s going to solve anything, but fine, it’s a gesture.

CNBC has the details of Kamala’s “softened” tax policy for high income earners:

Obviously, most college educated males are not earning $1 million a year today, but this misses the point. Many college educated men believe that this is possible for them to do. Most believe it’s only a matter of time. If they just meet the right connections or get the perfect opportunity. This is what drives America and makes our economy great - none of us has a ceiling. None of us has a cap. A smaller, less sturdy social safety net than in Europe, yes. But no limitations on our upside either. As such, we’re an aspirational society with endless possibilities out there on the horizon for anyone willing to take a risk.

And everyone daydreams about the business they might someday start or the value of the stock options they’ve been partially compensated with. The daydreamers do not like the idea of seeing these imaginary earnings being taxed at a higher rate despite the fact that they haven’t been earned yet.

This might sound crazy to you and, if it does, you’re probably not the kind of person I’m speaking about. I think the people who understand this far outnumber those who don’t.

Raising the cap gains rate from 20% to 28% isn’t going to change the world but it’s certainly not going to make any friends. Even if it’s much better than the original Biden approach.

Trump’s going to make hay of this when he speaks to the Economic Club of New York later today and during the debate next week. You can count on it.

We’re Number One

Great news, we have the number one “new release” business book in America. The audio version is number five. I say “we” and not I because I couldn’t have done this without you. All of you who have pre-ordered and bought the book, who have shared the link with your friends and submitted reviews - you’re on the team. I appreciate you guys, thank you so much for standing with me.

If you haven’t gotten your copy yet, you can still get a first edition in time for the weekend. Go here for Amazon or here for everywhere else.

Thanks again!

What Are Your Thoughts

On an all new episode of What Are Your Thoughts, Michael and I take a look at the biggest stories on Wall Street this week and some under the radar research you may have missed.

Watch it below or listen wherever fine podcasts are played. The audio version has the Dan Ives interview we dropped on Labor Day, which now has over 60,000 views on YouTube and counting.

Private Credit pitches

Was I too harsh in this comment, not harsh enough or completely fair? 

You’ll have to read the original post, of course, to be able to determine that. It’s here, if you can handle it.

Let me just say that I’ve worked at some of the most notorious boiler rooms on Long Island but these real estate fin-fluencers are absolutely f***ing shameless. The shit they’re telling people about their products would make a Series 7 stock jockey blush.

I just hope they’re getting these things approved by a compliance professional.

Okay, that’s all from me today, talk soon! - Josh