Separate from Obamaphobia are fears are regarding the fiscal cliff. A separate group of financial services executives--many of whom also suffer from Obamaphobia--believes politicians are idiots who have no idea how markets work and turn everything they touch into lead. Thus they look ahead at the looming "fiscal cliff," and think that Congress may very well be idiotic enough to send us plunging off it. But where were these people before the election, Russo wants to know.
"The fear about gridlock in Washington and all of the things that now seem to be pressing investors' attention were all in the market before. I personally think its a bit remarkable that the market has seemingly focused on the post-election time as something different than they would have expected."
Russo has been adding to shares of Wells Fargo, shares of which comprise about 5% of the funds he manages, as the stock has cheapened in recent days.
He may have to stand another few days of losses, but it seems difficult to believe he won't be rewarded in fairly short order for standing firm amid the wave of post-election negativity among investors in bank stocks.-- Written by Dan Freed in New York. Follow @dan_freed