AGF Management Limited

03/20/2023 | News release | Distributed by Public on 03/20/2023 03:53

Donald Trump — Crazy Like a Fox

THE BUZZ IN WASHINGTON THIS WEEKEND WAS CLEAR: If Donald Trump is indicted this week - which is far from certain - it would be a political plus for the former president, for three major reasons:

First, an arrest would give him the publicity he craves, perhaps even pushing bank anxiety and the Xi-Putin summit off the front pages.

Second, it would give Trump still another opportunity to play martyr, which he does very, very well.

Third, he has smoked out Republican presidential candidates like Ron DeSantis - do you support me or not?

THE IRONY is that this isn't the strongest case as the spring indictment season begins. Most legal experts believe the New York District Attorney will have to rely a shaky legal premise involving use of campaign funds - and he will have to rely on the disgraced fixer, Michael Cohen, who's not a very credible witness.

BUT THE GEORGIA CASE is considered very credible; tape recordings and witnesses reportedly have given prosecutors a solid argument that Trump tried to overturn his election defeat there in 2020. An indictment in Atlanta is expected within weeks. Other indictments, including the Big One - Trump's encouragement of the Jan. 6 riots - are possible.

FACING A SCENARIO of more indictments this spring, Trump pre-emptively raised the issue this weekend, claiming that he would be indicted on Tuesday. With another two witnesses scheduled to testify early this week, we have no idea whether an indictment may come by Tuesday.

TRUMP MAY NOT KNOW EITHER: But by proclaiming that his arrest is coming, he has forced leading Republicans to respond. Predictably, Kevin McCarthy and other House leaders condemned what they called a political indictment, but the silence was deafening from Ron DeSantis.

DeSANTIS IS IN A SLUMP: His polls have slipped, and he has generated widespread criticism for calling the Ukraine war a "border dispute." Now his refusal to condemn a possible Trump indictment could become another political crisis for DeSantis, who may have no alternative than to publicly defend Trump in the next few days.

TRUMP IS CRAZY LIKE A FOX: He has solidified his base (look for his poll numbers to rise this week) and he has the country on edge, with his base suddenly rejuvenated, willing to consider protests which Trump has urged.

BOTTOM LINE: We have said for the past month that Trump once again is the frontrunner for the GOP nomination - and that assessment would be reinforced if he and most Republicans charge a "witch hunt" in New York. But that assessment may
change later this year if Trump gets bogged down in controversies that are far more serious than the Stormy Daniels case.

GIVE TRUMP CREDIT: He has jump-started his campaign by mocking leftist New York prosecutors. But there's nearly a year to go before the primaries, plenty of time for indictments that eventually may force Republican voters to conclude that he simply has too much baggage - and is at risk of losing, once again, to the flawed Joe Biden.

ANOTHER SERIOUS REPUTLICAN CANDIDATE may emerge to challenge Trump and DeSantis. It could be Nikki Haley, or it could be Tim Scott. But we think a lane is wide open for Virginia Gov. Glenn Youngkin, who's smart and aggressive and has shown a willingness to spend some of his $500 million on winning an election.

The views expressed in this blog are those of the author and do not necessarily represent the opinions of AGF, its subsidiaries or any of its affiliated companies, funds or investment strategies.

The views expressed in this blog are provided as a general source of information based on information available as of the date of publication and should not be considered as personal investment advice or an offer or solicitation to buy and/or sell securities. Speculation or stated believes about future events, such as market or economic conditions, company or security performance, or other projections represent the beliefs of the author and do not necessarily represent the view of AGF, its subsidiaries or any of its affiliated companies, funds or investment strategies. Every effort has been made to ensure accuracy in these commentaries at the time of publication; however, accuracy cannot be guaranteed. Market conditions may change and AGF accepts no responsibility for individual investment decisions arising from the use of or reliance on the information contained herein. Any financial projections are based on the opinions of the author and should not be considered as a forecast. The forward looking statements and opinions may be affected by changing economic circumstances and are subject to a number of uncertainties that may cause actual results to differ materially from those contemplated in the forward looking statements. The information contained in this commentary is designed to provide you with general information related to the political and economic environment in the United States. It is not intended to be comprehensive investment advice applicable to the circumstances of the individual.

AGF Investments is a group of wholly owned subsidiaries of AGF Management Limited, a Canadian reporting issuer. The subsidiaries included in AGF Investments are AGF Investments Inc. (AGFI), AGF Investments America Inc. (AGFA), AGF Investments LLC (AGFUS) and AGF International Advisors Company Limited (AGFIA). AGFA and AGFUS are registered advisors in the U.S. AGFI is a registered as a portfolio manager across Canadian securities commissions. AGFIA is regulated by the Central Bank of Ireland and registered with the Australian Securities & Investments Commission. The subsidiaries that form AGF Investments manage a variety of mandates comprised of equity, fixed income and balanced assets.

Founded in 1957, AGF Management Limited (AGF) is an independent and globally diverse asset management firm. AGF brings a disciplined approach to delivering excellence in investment management through its fundamental, quantitative, alternative and high-net-worth businesses focused on providing an exceptional client experience. AGF's suite of investment solutions extends globally to a wide range of clients, from financial advisors and individual investors to institutional investors including pension plans, corporate plans, sovereign wealth funds and endowments and foundations.

For further information, please visit AGF.com.

©2023 AGF Management Limited. All rights reserved.