A quickie on markets: chances of Trump 2.0 in the White House. THREE THINGS YOU NEED TO KNOW

1- Risk-on assets are generally supported under a pro-business potential Trump Republican-led party. With the chance of increased tariffs on China, commodities might be expected to outperform, which bodes well for some Asian markets, especially Australia and Indonesia.

2- Other risk assets, such as Bitcoin, seem supported under Trump 2.0 as he previously dubbed himself a champion for cryptocurrency at a San Francisco fundraiser in June. We don’t know specifics about his proposed crypto policy, but he slammed Democrats' attempts to regulate the crypto sector.

3- Volatility– remember, volatility right now is calm as a farm. In US Presidential election years, markets are positive 80% of the time. Plus, momentum is strong amid earnings growth for the S&P 500 at 12%, and we now have three Fed rate cuts expected. That supports small caps, tech stocks, and commodities (with the USD likely to be pressured down).

- And in years where the S&P 500 has gained 10% in a half-year, the second half usually delivers positive returns 89% of the time

- But closer to the election, volatility usually picks up, especially around September and October. Then after an election, we usually see a rebound/relief rally as capital is put to work in December once we know who will be leading the US and what their policies are.

- In the meantime, repositioning portfolios based on past performance may be dangerous. So investors should instead focus on the fundamentals and where they see the most earnings growth, paying attention to what’s happening in the economy and markets.

- Being disciplined and patient can reward you handsomely.