"Investors could get rid of banks due to the lack of visibility over the question," Deydier said, "especially SocGen and Natixis , as they are the most heavily dependent on corporate and investment banking among French banks."
In a speech in January, Hollande said his biggest rival was “the financial world".
A Hollande win could be both positive and negative for the housing sector, Deydier explained.
Hollande’s deficit reduction plan focuses on increasing taxes rather than on reducing spending.
“Real estate companies are companies that benefit a lot from tax loopholes,” Deydier said, “so all the French mid-caps in that sector—such as Unibail Rodamco —should suffer,” he said.
On the other hand, both the construction and construction material sectors can expect a bounce, “in both cases, but especially if Hollande is the winner,” Deydier explained.
“There is an important deficit between housing supply and demand in France,” Deydier said, “and both candidates include construction aid programs.”
“Real estate developer Nexity has a tendency to rise and fall very rapidly depending on announcements,” Deydier said.Page 2 of 3 | Prev Page | Next Page