Gundlach: Biden Will Not Win the Democratic Nomination

Although polls show Joe Biden leading his nearest competitor by more than 15 percentage points, Jeffrey Gundlach says he will not be the Democratic nominee for the 2020 presidential election.

Gundlach is the founder and chief investment officer of Los Angeles-based DoubleLine Capital. He spoke via a webcast with investors on June 13. His talk was titled, “YouTube University,” and the focus was his firm’s flagship mutual fund, the DoubleLine Total Return Fund (DBLTX). The slides from his presentation are available here.

Although best known for his market insights, Gundlach was one of the few who correctly predicted Donald Trump’s victory in 2016.

Despite his lead over rivals Bernie Sanders and Elizabeth Warren, Gundlach said the important factor is that 70% of Democratic voters don’t like Biden. That is despite the fact that, given his 30-plus-year political career, voters know “everything about him,” Gundlach said.

Biden has launched two prior presidential campaigns, yet has not managed to secure a single vote from a Democratic delegate.

Biden is not the most electable Democrat, Gundlach said. “The Democrats better hope they have someone more electable than a guy who has never won a delegate.”

President Trump calls Biden “Sleepy Joe,” but Gundlach had his own nickname for Biden – “Jurassic Joe.” That is not a reference to his age, he said, but to the fact that he is “a politician from a bygone era.”

“Biden will not be the nominee,” Gundlach said.

Let’s turn to Gundlach’s comments on the markets and economy, which were not as contrarian as his political prediction.