Billionaire hedge fund manager John Paulson has threatened to remove his money from the US markets if Vice President Kamala Harris defeats former President Donald Trump in November’s presidential election.
The Paulson & Co. founder — also a Trump megadonor — made the shocking revelation during his appearance on Fox Business’ “The Claman Countdown,” on Tuesday.
“It depends on the policy, if Harris is elected I would pull my money from the market,” Paulson said. “I’d go into cash and I’d go into gold because I think the uncertainty regarding the plans they outlined would create a lot of uncertainty in the markets and likely lower markets.”
Paulson cited the policies Harris’ campaign laid out that would focus on more centralized price controls and new government spending programs.
Economists have estimated the plans to cost over $1.7 trillion.
The future of the American stock market and economy relies on the winner of the Nov. 5 general election, the 64-year-old investor insisted.
“It very much depends on who is in the White House and who controls Congress,” Paulson said. “I’d be very concerned if Harris is elected and pursues the tax plans and other economic plans that she articulated.”
“If they do implement a 25 percent tax on unrealized gains, that would cause mass selling of almost everything — stocks, bonds, homes, art. I think it would cause a crash in the markets and a pretty quick recession.
Paulson, known for his lucrative bet against the subprime mortgage in 2007, backed his threat by confirming he would sell his liquid equities if the current Veep wins the Nov. 5 election.
The hedge fund manager hosted a fundraiser for the Trump campaign in Palm Beach, Fl. in April that raised over $50 million, breaking the single-event fundraising record.
While GOP megadonors attended the record-breaking event, Paulson believes the 2024 Presidential election comes down to the middle class.
“I think the middle class is key for this election,” Paulson said. “And who’s gonna do better for the middle class. When you look at the facts, the Trump policy had come out better for the average American.”
“Under his administration of the four years, average real wages grew about 6.5%,” he claimed. “Under Biden, because of the high inflation, real wages have declined from where they were when he started.”
“That’s why so many middle[class] Americans are having so many difficulties with common expenses like rent and food.”
Paulson believes inflation is coming down, but there’s more that can be done to help it.
“The important thing is keeping it down and to do that you need to bring down the deficit, bring down inflation and bring down the interest rates.
House Speaker Mike Johnson knocked “Camrade Kamala’s” economic plan, saying it’s like “Oprah (Winfrey) is running for president.”
“Candidate ‘Comrade Kamala’ Harris — as President Trump is known to call her — now wants to take it to a whole different level,” the House speaker said.
During her first 100 days, Harris would provide $25,000 in federal down payment assistance for first-time homebuyers who pair their rent on time for at least two years and lower- and middle-income families having children, in addition to her controversial plan to fix prices on groceries.
Johnson shot back at the vice president’s plans, laying out the Republican’s “very-aggressive” first 100 days agenda, if the GOP were to win back control of Congress and the White House.
“We’ll keep those cuts in place to support job creation, along with the doubled guaranteed deduction and a strong child tax credit,” he promised.
“But unlike the Democrats’ proposal, we will ensure that our tax policy respects the dignity of work and does not pay people more for staying out of the workforce.”