The usually routine end of year planning is complicated this year by lingering uncertainty surrounding elections and the pandemic. While answers likely won’t be coming before 2021 arrives, the good news is that much of your decision-making hinges on your personal priorities as much as any policy changes that may be on the way.
While the final outcome of the election is slow in coming, the most chaotic of possible scenarios seems to have been avoided. The markets are showing positive signs as a divided government under President Biden looks more and more likely, but ultimately the party in power has historically little impact on market performance.
As impact investing continues to grow, investors are now faced with the challenge of how to hold companies accountable for their promises. A common framework for metrics looks to make it easier to measure progress on ESG initiatives, and board diversity requirements stand to bring in much needed new voices to the industry.
Shareholder engagement increasingly drives companies to commit to more sustainable and equitable practices.
While we face confounding economic conditions and widespread uncertainty, it’s natural to wonder what the future could hold for the markets and tax policy.