Americans across the nation will cast their ballots on Tuesday, determining which party will control Congress for the next two years. As midterm election battles come to a close, Wall Street will keep an eye on politically fueled exchange traded funds that focus on either conservative and liberal agendas.
Conservative ETFs to watch: God Bless America ETF ( NYSEARCA: YALL ), American Conservative Values ETF ( ACVF ), and the Point Bridge America First ETF ( BATS: MAGA ).
Liberal & Environmental ETFs to watch: Democratic Large Cap Core ETF ( DEMZ ), iShares S&P Global Clean Energy Index ETF ( NASDAQ: ICLN ), and the Invesco Solar Portfolio ETF ( NYSEARCA: TAN ).
With hot topics such as the economy, inflation, reproductive rights and the Russia-Ukraine war driving election results, 34 out of 100 Senate seats and all 435 House of Representatives seats will be decided by Tuesday's election.
Republicans are generally expected to take control of the House, where the Democrats currently hold a thin majority. According to FiveThirtyEight , Republicans currently have an 84% chance of taking over the lower house of the U.S. Congress.
The race for the Senate is tighter, although FiveThirtyEight still gives an edge to Republicans. The outcome will likely come down to close races in states like Georgia, Pennsylvania and Nevada.
Year-to-date returns: YALL +8.1% , ACVF -18% , MAGA -2.1% , DEMZ -22.8% , ICLN -11.2% , and TAN -9% .
To put these ETFs 2022 returns into perspective, most of them except for DEMZ outperformed the S&P 500 ( SP500 ) and its mirroring ETFs ( SPY ), ( VOO ), and ( IVV ) at -20.5% .
In other political market news, soon Democratic and Republican lawmakers’ stock picks may be able to be capitalized on by two ETFs.
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Politically charged ETFs in focus as voters head to the polls for midterm elections