Financiers had a lot to be glad for. The 3 major indices saw extraordinary growth during the first few years of the Trump administration. Today election night is behind us. There are still numerous legal challenges being thought about, however for now, it appears that Joe Biden will be the next president of the United States.
Legal difficulties are happening today. We'll need to wait to see what happens there. However for now, let's assume Joe Biden takes workplace on the 20th of January. What does that mean for the high-technology sector? The message I want to provide to readers firstly is this: No matter who is president, innovation and biotechnology are going to have an unbelievable year in 2021.
And I have actually never ever seen the confluence of innovations that we are witnessing right now. We have a mix of developments occurring in expert system and artificial intelligence. At the same time, we're simply starting to use the most innovative computer science and infotech to the field of biotechnology. We have extensive, economical, basically unrestricted computing power and storage.
This is going to start a suite of new technology applications that would have been impossible even simply a few months ago. And this is all taking place at the same time. [Make certain you check your inbox tomorrow afternoon. I'll be speaking with Jeff about the biggest 5G stories of 2020, and I'll ask him for his No.
Each of these technologies affects the others. And that's what we're going to see in 2021.
Then there is a sharp "elbow," and the pattern goes vertical. And the speed at which that occurs is why most do not spot it up until too late. That's why my objective is to assist my readers invest in the most promising tech business right before that elbow.
Could that have ramifications for stocks? One of the greatest things the law did was lower the corporate tax rate from 35% to 21%.
They primarily did 2 things. They purchased brand-new devices, centers, and research and advancement. The other thing corporations did was reward financiers in the kind of stock buybacks. [Stock buybacks are when a business acquires its own shares and reduces the number of outstanding shares, hence increasing the value of remaining shares.] Both things were great for equity prices and financiers in American companies.
It'll reduce consumption and adversely impact the stock exchange. We'll have to see if that takes place or not. But that's why I'll continue to concentrate on the world of high technology in 2021. Think about it. If a business provides an innovative product, service, or treatment, will it matter who is being in the Oval Workplace? It will not.
And if the markets do experience a dip during the next administration, that may be an excellent purchasing opportunity for some of the exciting companies I have on my radar. I'll be sure to keep my customers published if there's any action we require to take. Thanks as constantly, Jeff.