The 2026 midterm elections handed Democrats a sweep of the U.S. House of Representatives and the U.S. Senate, a result that could reshape the outlook for technology sectors and other corners of the market. And right on cue, markets have been volatile in recent trading days. Former hedge fund manager Whitney Tilson has a warning for anyone tempted to trade on the news.

Whitney Tilson's Warning

"Don't let your politics affect your investing," Tilson wrote in a blog post for Stansberry Research on Nov. 4.

To make his case, Tilson dusted off a series of charts he first shared back in 2023, ahead of the 2024 election. One compares two strategies: investing $1,000 in the S&P 500 Index only when presidents of one party held power over the last 70 years, versus putting the same $1,000 into the index for the entire 70 years, no matter which party was in charge.

The second strategy won.

"No matter how you feel about the results – whether euphoria or despair – don't let it affect your investment decision-making!" he wrote.

Economic Health

Tilson said he regularly hears from readers who insist the economy is terrible, and their view usually tracks whoever is sitting in the Oval Office. He notes this applies to supporters of both President Joe Biden and President Donald Trump: voters of the opposing party increasingly say the economy is bad, even when the data shows otherwise.

His prescription? Balance out your media sources so you hear both sides of an issue, and stick to high-quality news outlets.

"Don't let your political viewpoints affect your investment decision-making," he said.