RT Journal Article
SR Electronic
T1 Presidential Politics, Stocks, Bonds, Bills, and Inflation
JF The Journal of Portfolio Management
FD Institutional Investor Journals
SP 27
OP 31
DO 10.3905/jpm.1999.319771
VO 26
IS 1
A1 Robert R. Johnson
A1 William T Chittenden
A1 Gerald R Jensen
YR 1999
UL https://pm-research.com/content/26/1/27.abstract
AB Several studies show no significant difference in stock market performance between Republican and Democratic presidential administrations. While the authors confirm this finding for an index of large-capitalization stocks, they find that small-capitalization stocks perform Insignificantly better during Democratic administrations (an annual return difference of over 20%). The authors also present new evidence that the debt market performs significantly better during Republican administrations. In fact, on average, they find that real returns to debt during the 1929 through 1996 period have been negative.