Biden Will Crush Wall Street Bonus?

I already see many negative impacts of Biden's tax hike proposal on BBs. Unlike tech companies, financial companies are way more sensitive to tax hike because it is harder for them to conceal taxes in foreign countries.

Biden also want to raise tax on people who make $400k or more, which is base salary for MDs across street. This sucks too.

Biden very likely to increase regulation on BBs which is bad too.

I have a feeling that Biden will significantly hurt sell side bonus. Hope he doesn't become president.

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Comments (19)

Oct 5, 2020 - 1:04pm

Biden will bring damage to Wall Street bonus while Trump will bring prosperity to Wall Street bonus. You should really vote Trump if you still want good bonus 

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Oct 5, 2020 - 1:05pm

If you are a trader at VP level or above, $400k annual earning is not that hard. But you are still not rich, so how can Biden increase tax on you??!!

Oct 5, 2020 - 1:05pm

Yawn. This tired argument is trotted out every four years at election time. I made plenty of money under Bush, Obama, and Trump. You could make the argument that a Biden admin will bring more stability to the US economy and ensure we remain a target for FDI. Make your election decision on something else.

you didn't make good choices; you had good choices

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Oct 5, 2020 - 1:05pm

Which asset did you trade? Are you at a big bugle bracket or small prop shop? Can you provide more details how were you able to make so much money? Appreciated

Oct 5, 2020 - 1:05pm

Looks like hedge funds will also suffer from increased tax burden if dem party indeed want to raise capital gain tax.

I have been modeling Biden's tax impact on our portfolio companies. It is absolutely horrible. What Biden is doing is to force companies leave profits and jobs outside US.

Oct 5, 2020 - 1:05pm

You guys are absolute retards. If you truly are the income maximizing capitalists you claim to be then you should vote for a president that actually respects democratic checks and balances which are put in place to prevent arbitrary use of power. This increases long-term stability and will maximize your income over your lifespan. Stability is much better than having a couple of Trumps one year (perhaps including bigger bonuses, perhaps not) and some Bernies the other year. 

Oct 5, 2020 - 1:05pm

What exactly in Biden's record would lead anyone to believe he would give Wall Street a hard time? The dude has spent his entire career in Wall Street's pocket, that won't change after this election.

Regarding bonuses, regulation etc... I would suggest applying a long-term greedy philosophy. A certain very famous and successful HF manager would argue that policy has reflexively diverged so far from reality at this point that the regulatory pendulum is due for a very strong swing the other way. Keep pushing it in the current direction at your own peril.

Oct 5, 2020 - 1:05pm

Lol give it a break. From what I can gather Biden will only increase effective tax on people making above 400K by a single digit percentage. You can live without it. 

Also it seems that Biden is pulling more money from Wall Street than Trump by multiple factors. Not to mention the new GS report that Biden presidency would be better for the economy.

I hope that Biden wins the presidency, the Senate stays Republican and rejects increase in corporate tax. Also from economics perspectives, WE NEED to raise more tax revenue to pay off all the debt (which is acceptable even from a neo-classical view. M Friedman verbatim "only good reason for tax increase is a temporary increase to pay off the national debt"), especially after Trump blew up the deficit and didn't cut much government spending (where are you all the other deficit hawks? I'm still here).

Hopefully Biden presidency will be more like Clinton presidency- with good neo-Keynesian practices that will result in budget surplus and a balanced economy where people aren't complaining about inequality.

Never forget, ever since the Russian revolution, the most effective tactic to fight off full on socialism/communism was to give a piece of socialism (by temporarily increasing redistribution of wealth) to satisfy people's needs. The UK did that with the NHS, S.Korea did it with their land seizures and 4 basic public insurance programs, West Germany with Social Democracy, Sweden with increased redistribution of wealth through increased tax rate (Sweden is definitely not Socialist when you look at their government spending as a percentage of GDP, much much lower than the US actually).

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