MARKETS BUYING INTO TAX REFORM
Burt White Chief Investment Officer, LPL Financial | Jeffrey Buchbinder, CFA Market Strategist, LPL Financial
Last week’s tax proposal presented real progress. For much of this year we have been espousing what has felt like a minority view — that Republicans would reach some sort of tax agreement in early 2018. After last week, that view may have become the majority — even if only a slight one — as key tax policy players in Washington, D.C. put out a framework with more details. The plan is geared toward securing votes from the most conservative wing of the Republican Party and appears to have achieved its objective. Here we share some implications of that proposal and explore what some market-based barometers of tax reform show.
KEY IMPLICATIONS OF REFORM
On Wednesday, September 27, the so-called “Big Six,” key Republican policymakers attempting to rewrite the tax code, released a framework for tax reform. Although the plan lacked many important details, we see a few implications...