It appears that support for Democrats in the Fall will significantly increase due to public, especially female, agrégation over the Supreme Court’s decision re Roe v. Wade, in addition to public TV disclosures of revelations regarding Republican Trump supporters coming from the Committee to Investigate the January 6th Attack on the Capitol.
Assuming this to be the case, with a possible presidential victory in 2024, taxes are likely to increase to fund the programs likely to be passed by Congress and signed by the President.
Considering this possibility, it is probable that corporate profits will come under pressure. Therefore, the ownership of a defined percentage of a company’s revenues will become more advantageous for investors than owning a minority interest in the equity of that company.
Revenue royalties, which include issuer rights of redemption, will also be easier for companies to sell to investors because predictions of revenue growth will be more likely to be accepted than increasing profit projections.
Arthur Lipper, Chairman arthurlipper@gmail.com
British Far East Holdings Ltd.