How American politics has infected investing
Beware: taking a stand can be expensive
![Illustration of a stock arrow on a screen that has broken in the middle with the american flag showing through the crack.](https://www.economist.com/cdn-cgi/image/width=1424,quality=80,format=auto/content-assets/images/20240427_FND001.jpg)
The hedge fund’s branding is a clue. 1789 Capital was set up last year and named after the year Congress proposed America’s bill of rights. It offers investors the chance to put money into what it says are three key themes: a parallel conservative economy catering to consumers who want to avoid being bombarded with liberal ideas; the shift away from free trade; and firms that have been penalised by the environment, social and governance (ESG) investment trend. Its founder, Omeed Malik, a former banker, has hosted fundraisers for Robert Kennedy junior, an anti-vaccination, long-shot presidential candidate.
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This article appeared in the Finance & economics section of the print edition under the headline “Broke capitalism”
Finance & economics April 27th 2024
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