Impact of Trump presidency on investors turbulent
Donald Trump has always attracted attention: good or bad. Starting from his privileged upbringing in New York, to his incredible rise to power in the United States as president. This has handed him ego, money and power that is found to be damaging rather than complimentary to investors and consumers. A recent conversation on Fox TV, ardent supporter of Republicans and general conservatism, had much to reveal about President Trump’s current problem. A surprising election followed many months of speaking to the rising Populist movement in the U.S.
Trump’s campaign was grounded in the ways in which he promised to fix America’s problem – from global trade to domestic terrorism. Trump had much to say about President Obama’s way of doing things. In his opinion (and, it turns out, the opinion of millions of voters) the government was losing.
It’s nothing new for the opposition party or candidate to find fault with those in charge. This is, after all, what politics is all about. Trump’s problem started once he was actually elected to the very office he so enjoyed criticising. It seems he’s come to realise, as so many others have, that being the President is ever so slightly more complex than he may have anticipated. As a campaigner, he was free to badmouth whomever he wished, the only punishment being increased media attention. Inside the Oval Office, however, he’s had to find ways to bring his plans to fruition.
Following the surprise victory in November, countless articles have been written about the repercussions of a Trump-run America. Gleeful journalists have had more than their fair share of material to work with, with a new story up for grabs on a seemingly daily basis. At the time of print, the president has found himself in yet another sticky situation, following a terror-attack at a white supremacist march in Charlottesville. Seemingly constant shuffles in White House staff have done little to appease critics, with even the most loyal Trump supporters distancing themselves.
As is the case with any politician, potential conflicts of interest are placed under the microscope. In Trump’s case, this involves his family’s The Trump Organisation. After his victory, the president-elect announced that he would be removing himself from the business, in order to “fully focus on running the country.” While this is all good and well, it remains interesting to compare the businessman to the president.
Trump the advent of an iconic real estate investor
Donald Trump was known for backing himself and making big bets on real estate and his branded business ‘Trump’. The Trump Organisation includes, according to Business Insider, “a portfolio of real estate, hotels, and golf courses, as well as investments in clothing and other products.” Importantly, most of these aren’t owned by the organisation, but are “instead a result of licensing agreements made with other development companies”
The man that would eventually become president was born in 1946 in Queens, New York. His father, Frederick Trump, was a builder and property developer specialising in the construction and operation of apartments. Due to behavioural problems, Donald Trump was sent to the New York Military Academy at age 13. Following his graduation, he attended Fordham University for a few years, before transferring to Wharton School of Finance to pursue a degree in economics.
The property business ran in Trump’s blood, leading to him joining the family business after his graduation. At the time, what would become The Trump Organisation was known as Elizabeth Trump & Son. In 1971, Trump is given control of the company, moves to Manhattan, and sets his sights on building an empire. An opportunist from a young age, Trump managed to take advantage of economic downturns at the time by successfully bidding the use of one of his properties for the building of a city convention centre.
In 1973, Trump and his family’s company is accused of discrimination against tenants, on the basis of their race. Trump spoke out against the allegations in an interview with the New York Times, stating: “We never have discriminated, and we never would. There have been a number of local actions against us, and we’ve won them all. We were charged with discrimination, and we proved in court that we did not discriminate.” A settlement agreement is reached in 1975, with Trump’s company being ordered to “train employees about the Fair Housing Act and inform the community about its fair housing practices.”
A few years later, Trump purchases a New York apartment building adjacent to Central Park. The plan was to demolish the building and erect a large condominium development in its place. The apartment building tenants managed to win a lawsuit against the organisation, forcing Trump to rethink his plans. The Barbizon-Plaza Hotel, adjacent to the original apartment building, became the new site for Trump Parc.
With the declining real estate market in the early 1990s, Trump’s self-reported net worth of $1.5 billion dollars was estimated by Forbes to be nearer to $500 million. Later in the decade, the mogul claimed a net worth in region of $2 billion, leading to “independent sources again questioning his math, estimating his worth at something closer to $500 million by 1997.”
The net worth of President-elect Donald J. Trump was a popular story in the presidential election. He has said on multiple occasions that his net worth is around $10 billion. But, if you take the average of the three best outside estimates, Donald Trump’s net worth is actually $3.5 billion.
Trump has been involved in controversial real estate projects in New York City, Atlantic City, Florida, Scotland and Aberbajan. His key real estate and assets are:
- The Mar-a-lago Club, Palm Beach, Florida
- Trump Helicopter (including a Sikorsky valued at $7million)
- Trump International Hotel, Las Vegas
- Trump National Golf Club, Westchester county, New York
- Trump World Tower, New York
- Trump Building @ 40 Wall Street, New York
- Trump International Hotel and Tower, New York
- Trump National Golf Club, Colt’s Neck, New Jersey
- Trump International Golf Links, Aberdeen, Scotland
- Trump International Hotel and Tower, Chicago
- Trump National Doral, Miami
- Trump 757 airplane
- Trump Place, New York
- Trump Rink in Central Park, New York
- Trump’s books and licensing deals