Winners would include hospitals and managed-care facilities because of her intention to expand the Affordable Care Act (ACA), which could prod iShares Dow Jones US Health Care ETF (NYSE:IHF) to perform well. This stock boasts several hospital stocks in its holdings.
Clinton’s Clean Energy Challenge includes tax incentives and grants for green energy initiatives, including solar and wind power companies. ETF to watch: PowerShares WilderHill Clean Energy ETF (NYSE:PBW), which holds a variety of alternative energy companies.
Defense stocks could light up the board nicely as defense firms are among her largest donors. Having dealt with several military operations as Secretary of State, she is no stranger to military intervention. Stock to watch: iShares Dow Jones US Aerospace & Defense ETF (NYSE:ITA), which has a portfolio of the largest defense contractor stocks.
ETFs to run from would include Drugmakers: Clinton has made it clear she intends to lower the price of pharmaceuticals, to the point of having singled-out particular firms. Avoid iShares NASDAQ Biotechnology Index ETF (NASDAQ:IBB).
Large banks, brokerage firms and financial services would not likely do well under Clinton because of her support for the Consumer Financial Protection Bureau (CFPB), her desire to tax high frequency trading, and she favors a “risk fee” for big banks. Her support of Dodd-Frank and the CFPB certainly earns her a “no” from the manufactured housing industry. Stock to avoid: SPDR KBW Bank ETF (NYSE:KBE), as it targets large banks.
Finally, fossil fuel firms wold likely fare badly with Clinton in the White House. She has stated her opposition to coal mining on federal lands and opposes offshore drilling for oil. ETF to stay clear of: Energy Select Sector SPDR ETF (NYSE:XLE). The company has large holdings in Exxon and Chevron. ##
(Photo credit: Neurolog-Kielce–Electronic ETF board)
