Staff Reports
Scott Galloway just admitted what a lot of us suspected: he let politics wreck his portfolio. On a recent Office Hours episode of The Prof G Pod, the NYU professor confessed he sold all his stocks after President Trump’s 2016 victory, then bought back in at higher prices. He called it his “biggest investment mistake” and estimated the move cost him roughly 40% of his liquid stock net worth — a claim he made on the air and has not independently verified.
What Scott Galloway actually said on his podcast
On the Office Hours segment of The Prof G Pod, Galloway said, “So when he was elected in 2016, I sold all my stocks. That was stupid… You could argue, at least notionally, that decision cost me 40% of my liquid net worth in stocks.” He explained he realized capital gains (triggering taxes) and then re-entered a market that had run up 10–20 percent. That admission — blunt and public — is the specific development driving the story.
Why this matters: market timing, taxes, and the S&P rally
The episode is more than a celebrity confession. It’s a textbook example of why market timing fails. After President Trump’s win the market moved up strongly the following year, and investors who stayed invested or dollar-cost averaged did far better than those who panicked and sold. Add a capital gains tax bill and a later buyback at higher prices, and you get the type of hit Galloway described. Remember: his 40% figure is his estimate, not an audited number, but the logic — taxes plus buying into a higher market — is sound.
The political angle: Trump Derangement Syndrome on full display
Conservative outlets rightly frame this as a case of Trump Derangement Syndrome. When politics becomes a lifestyle, people make emotional decisions that cost them money. White House spokesman Davis Ingle even called out Galloway’s focus on President Trump as obsessive. If an NYU professor can let political fury empty his brokerage account, imagine what it does to ordinary families who take cues from the pundit class.
Lessons for investors and a final word
The takeaway is simple: don’t let politics drive your investment plan. Stay invested, diversify, and consider dollar-cost averaging instead of panicked selling. If Galloway wants to prove the 40% hit, he can show the receipts — otherwise this is a cautionary tale, not a forensic audit. Either way, it’s an expensive reminder that emotion is a terrible financial advisor and that some people will pay a high price for living their politics.
