Suck it up and learn how to profit from it
I'm getting tired of all of the whining in blog posts and from the right about how Obama was elected President and how we're all screwed. Did I vote for him? No. But I didn't vote for McCain either. I am not going to sit here and cry that I didn't like the candidates who were running for our country's highest office. It is what it is. I am going to suck it up and try to figure out how to profit from the change in administration and the natural policy changes that will come as a result of it. The whiners should too.
I plan to write a few posts on the sectors I believe the new administration will benefit over the next several days.
Investment Idea #1: Clean Power Generation
The Democrats have said that they want to make long-term investments in clean energy. Specifically, Obama has proposed that the U.S. invest as much as $150 billion in renewable energy over the next 10 years. He also wants to require 10% of the United States power come from renewable sources by the year 2013. Furthermore, in an effort to eliminate greenhouse gases, Obama has stated that ht favors using a cap-and-trade auction to limit companies carbon emissions, with the goal of reducing the country's carbon emissions by 80% from their 1999 level by the year 2050.
If these things come to pass, all of them will benefit power companies like FPL and Exelon, which have a large presence in wind and nuclear power. As an added bonus, both of these companies mesh nicely with my strategy of purchasing stocks that pay solid dividends (3.9%).
As an added bonus, Obama has stated that he intends to support plug-in electric vehicles by doubling automakers' fuel economy standards, offering a $7,000 tax credit to buyers of such vehicles, provide $4 billion in retooling credits and loans to help domestic automakers produce new, fuel efficient vehicles, and aim to get 1 million 150 mile-per-gallon plug-in hybrids on the roads within six years. The increased demand for electricity that plug-in electric vehicles would stimulate would be bullish for power companies as well.
Sources: Gas Prices & What Obama stands for on economy
Long FPL & EXC