JP Morgan Private Bank Managing Director, Stefan Gratzer, said that the first couple years of Donald Trump’s new presidency could be significantly impactful if the president-elect’s plan to cut taxes, deregulate, and support crypto has come to pass.
Gratzer stated in a conference in Kuwait on Sunday and pointed out the unique aspect of Trump’s policy regarding cryptocurrencies, highlighting its potential implications. The uncertain nature of this development could bring about significant changes.
Trump’s promises on pro-growth policy has raised optimism across the board, as his policies were centered around slashing tax and deregulation. These policies and the Federal Reserve’s decision towards accommodating monetary policies would supercharge the American economy and generate fresh opportunities for financial institutions.
Gratzer remarked that Trump’s tax reduction policy will play a crucial role in encouraging investment, as lower taxes lead to higher share prices which may have contributed to the recent market uptrend.
With both the House and the Senate in Trump’s favor, there is a possibility of continuity in his approach over the next two years. However, the landscape might shift post the 2026 midterm elections, potentially posing challenges to pursuing similar policies.
Additionally, Gratzer mentioned that JP Morgan Private Bank is experiencing a surge in client interest from the Middle East and North Africa, particularly in the realm of technology, notably artificial intelligence.
The energy market and energy transition will be a major focus in the region in terms of technology and transport, especially electric vehicles. Luxury is another area of interest, while defense and education are areas that need further investment. There are also opportunities in the healthcare sector.
