Democratic business heavyweights are threatening to vote for President Trump in 2020 or sit out the election if the party nominates Senator Elizabeth Warren, who has made cracking down on Wall Street a pillar of her campaign.
Nervousness among major Democratic donors in the business world has heightened as Warren continues to gain ground on the current front-runner for the Democratic nomination, former vice president Joe Biden.
“You’re in a box because you’re a Democrat and you’re thinking, ‘I want to help the party, but she’s going to hurt me, so I’m going to help President Trump,’” a senior private-equity executive told CNBC after a formal impeachment inquiry into Trump was announced.
Warren has proposed a wealth tax of 2 percent on families with $50 million in assets and a 3 percent tax on those with $1 billion in assets. The Massachusetts senator has also targeted private-equity firms with her Stop Wall Street Looting Act, which would hold the firms responsible for the debts and pension obligations of the companies they purchase.
For his part, Trump has ingratiated himself with many business leaders by cutting taxes for corporations and rolling back regulations on big business.
Warren appeared to welcome the criticism of top executives at big banks and corporations, tweeting, “I’m Elizabeth Warren and I approve this message” in response to a report that Wall Street executives are “fearful” of the possibility she could become president.