Investors Move to Cash, Anticipating Democratic Gains in US November Elections

A statue of George Washington overlooks the New York Stock Exchange on Broad Street, New York, on Sept. 7, 2017. Samira Bouaou/The Epoch Times

NEW YORK—The likelihood of a Democratic party takeover of at least one house of the U.S. Congress in the midterm elections in November is prompting some portfolio managers to move more money to cash and rotate away from sectors like financials and technology that could see greater regulatory scrutiny.

Fund managers from Federated Investors, OppenheimerFunds, and BMO Global Asset Management are among those who are repositioning their portfolios and seeing cash as more attractive with the Nov. 6 elections less than 100 days away.