Political Economy

Hope for 2017!

Change=Opportunity

US & Intl Economic Situation

The Trump Effect

Growth Solutions

Opportunity created

from challenges

Treasury Secretary Steven Mnuchin said Thursday that

he wants to see "very significant" tax reform passed

before Congress' August recess, in what could prove a

tough task as lawmakers work through a complex

agenda."We want to get this done by the August

recess. We've been working closely with the leadership

in the House and the Senate and we're looking at a

combined plan," he told CNBC in his first television

interview since assuming office.

2/23/17

Opportunity to

understand economy

2.2%

6.5%

1.5%

4.8%

4.5%

9.6%

2.2%

2.1%

1.1%

Quiz Time!

Summary of Fed policy

“There are limits to what monetary policy can

and, indeed, should, do. The burden must also

fall on fiscal and other policies to do their part

to help create conditions conducive to economic

stability.”

SF Fed President John Williams

Policy solutions for growth

Free Trade=lower tariffs

Reg. Relief=reduced costs

Tax reform=capital formation

w/incentives

Infrastructure=efficiency

Energy=low prices

Opportunity to

anticipate policy

Trump tax reform

Cut Corp Tax to 15%

Limit Pass Thru 15%

1x 10% Repat Tax

Big Drop in Interest Deductibility

Full expensing!

100 day deregulation plan

Cancel Paris Climate Agreement

& TPP

& Climate Action Plan

& WOTUS

& Overtime rule

& Fiduciary rule

Repeal and Replace:

ACA

Dodd-Frank

Obama Executive actions

US Treasury Secretary Steve Mnuchin

National Economic Council Gary Cohn

Federal Reserve Janet Yellen (term ends 2018)

Federal Reserve Vice-Chair Regulation Daniel Tarullo (leaves April)

Office of the Comptroller of the Currency (OCC) (?Tom Vartanian?)

Federal Deposit Insurance Agency (FDIC)

Securities and Exchange Commission (SEC) Jay Clayton nominee

Commodity Futures and Trading Commission (CFTC) Christopher Giancarlo, ranking Republican

Consumer Financial Protection Bureau (CFPB)

Department of Labor nominee Alexander Acosta

Office of Management and Budget (OMB) nominee Mick Mulvaney

Senate Banking Committee chair Sen. Michael Crapo (R-ID)

Senate Banking Committee ranking minority Sen. Sherrod Brown (D-OH)

Senate Banking Committee minority member Sen. Elizabeth Warren (D-MA)

Senate Committee on Health, Education, Labor & Pensions Lamar Alexander (R-TN) chair

Senate Committee on Health, Education, Labor & Pensions Patty Murray (D-WA) ranking minority member

House Financial Services Committee chair Jeb Hensarling (R-TX)

House Financial Services Committee ranking member Maxine Waters (D-CA)

"Mr. Trump," a 9-year-old said to the Republican

presidential candidate aboard his self-branded

private helicopter at the fair on

Saturday, according to CNN, which reported on

the video after the exchange surfaced online.

"Yes," Trump replied.

"Are you Batman?" the boy asked.

"I am Batman," Trump said, before the

helicopter thundered upward.

8/17/2016

CORE PRINCIPLES FOR REGULATING

THE UNITED STATES FINANCIAL SYSTEM

By the power vested in me as President by the Constitution and the laws of the United States of America, it

is hereby ordered as follows:

Section 1. Policy. It shall be the policy of my Administration to regulate the United States financial system in

a manner consistent with the following principles of regulation, which shall be known as the Core

Principles:

(a) empower Americans to make independent financial decisions and informed choices in the marketplace,

save for retirement, and build individual wealth;

(b) prevent taxpayer-funded bailouts;

(c) foster economic growth and vibrant financial markets through more rigorous regulatory impact analysis

that addresses systemic risk and market failures, such as moral hazard and information asymmetry;

(d) enable American companies to be competitive with foreign firms in domestic and foreign markets;

(e) advance American interests in international financial regulatory negotiations and meetings;

(f) make regulation efficient, effective, and appropriately tailored; and

(g) restore public accountability within Federal financial regulatory agencies and rationalize the Federal

financial regulatory framework.

Sec. 2. Directive to the Secretary of the Treasury. The Secretary of the Treasury shall consult with the heads

of the member agencies of the Financial Stability Oversight Council and shall report to the President within

120 days of the date of this order (and periodically thereafter) on the extent to which existing laws, treaties,

regulations, guidance, reporting and recordkeeping requirements, and other Government policies promote

the Core Principles and what actions have been taken, and are currently being taken, to promote and

support the Core Principles. That report, and all subsequent reports, shall identify any laws, treaties,

regulations, guidance, reporting and recordkeeping requirements, and other Government policies that

inhibit Federal regulation of the United States financial system in a manner consistent with the Core

Principles.

Sec. 3. General Provisions. (a) Nothing in this order shall be construed to impair or otherwise affect:

(i) the authority granted by law to an executive department or agency, or the head thereof; or

(ii) the functions of the Director of the Office of Management and Budget relating to budgetary,

administrative, or legislative proposals.

(b) This order shall be implemented consistent with applicable law and subject to the availability of

appropriations.

(c) This order is not intended to, and does not, create any right or benefit, substantive or procedural,

enforceable at law or in equity by any party against the United States, its departments, agencies, or entities,

its officers, employees, or agents, or any other person.

DONALD J. TRUMP

Presidential Memorandum on Fiduciary Duty Rule

MEMORANDUM FOR THE SECRETARY OF LABOR

SUBJECT: Fiduciary Duty Rule

One of the priorities of my Administration is to empower Americans to make their own financial

decisions, to facilitate their ability to save for retirement and build the individual wealth necessary to

afford typical lifetime expenses, such as buying a home and paying for college, and to withstand

unexpected financial emergencies.

Term "Fiduciary"; Conflict of Interest Rule Retirement Investment Advice, 81 Fed. Reg. 20946 (April 8,

2016) (Fiduciary Duty Rule or Rule), may significantly alter the manner in which Americans can receive

financial advice, and may not be consistent with the policies of my Administration.

Accordingly, by the authority vested in me as President by the Constitution and the laws of the United

States of America, I hereby direct the following:

Section 1. Department of Labor Review of Fiduciary Duty Rule. (a) You are directed to examine the

Fiduciary Duty Rule to determine whether it may adversely affect the ability of Americans to gain

access to retirement information and financial advice. As part of this examination, you shall prepare an

updated economic and legal analysis concerning the likely impact of the Fiduciary Duty Rule, which

shall consider, among other things, the following:

(i) Whether the anticipated applicability of the Fiduciary Duty Rule has harmed or is likely to harm

investors due to a reduction of Americans' access to certain retirement savings offerings, retirement

product structures, retirement savings information, or related financial advice;

(ii) Whether the anticipated applicability of the Fiduciary Duty Rule has resulted in dislocations or

disruptions within the retirement services industry that may adversely affect investors or retirees; and

(iii) Whether the Fiduciary Duty Rule is likely to cause an increase in litigation, and an increase in the

prices that investors and retirees must pay to gain access to retirement services.

(b) If you make an affirmative determination as to any of the considerations identified in subsection (a)

or if you conclude for any other reason after appropriate review that the Fiduciary Duty Rule is

inconsistent with the priority identified earlier in this memorandum then you shall publish for notice

and comment a proposed rule rescinding or revising the Rule, as appropriate and as consistent with

law.

Trump plans recap

Help: big tech & big pharma

Hurt: debt heavy balance sheets

Help: industrials & manufacturers

Hurt: free trade & immigration

Help: energy production

Help: Transportation/Engineering

Help: reduce regulations

Help: Financial Services

Major CRE/REIT Issues

DOL Fiduciary Rule ?s

US & Intl. economy momentum

Dodd-Frank uncertainty

Tax reform and phase-in timeframe

TONIGHT SHOW

POPULAR MATHEMATICS

WARM-UP

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Policy Solutions

You

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Opportunity to

grasp future

Growth Solutions

AI

3-D Printers

CREtech

“…we have seen how the great acceleration is

being driven forward by a powerful alliance between

hardware and software – between technology and

ideology. Day by day, year by year, this process is

reaching further into our lives, as the billionaires

and would-be billionaires of Silicon Valley widen

their ambitions. Space travel, education, energy,

agriculture, transportation – all these sectors and

more are in their sights. In their quest to disrupt the

world, they and their cousins around the world are

aided and abetted by the availability of raw

computing power on a scale unimaginable a few

decades ago.

Robert Colvile in “The Great

Acceleration: How the World is Getting

Faster, Faster”

Opportunity=Change