Trump’s presidency is crimping on tech stocks, and while they were valued higher given allocation among asset managers versus other sectors, I take on the view that the space is structurally positioned to outperform given historical growth, less dependency on cyclicality, better control over cost levers, and broadly diversified geographic revenue. It’s an issue of money flows as opposed to fundamentally driven selling, as some of the other sectors like banks, insurers, industrials and basic materials are attracting capital.Most of the large/mid cap tech sector component companies expand into foreign market without allocating substantial cash towards PP&E, as tech peers tend to grow revenue/earnings via OpEx as opposed to competing sectors like energy, REITs, telecoms, manufacturing, and industrials which grow via acquisition of capital or M&A. In other words, tech is structurally favorable in any environment, as growth is fueled by operating costs, as opposed to unlevered free cash flow, which is NOPAT + Depreciation - CAPEX. The few exceptions among tech constituents that operate capital intensive business models like IaaS, Semiconductors (that own in-house fabs), and logistical service providers (Amazon) have higher levels of operating efficiency, and lower COGS to over compensate for the capital intensity of housing servers, warehouses, and advanced logistical equipment. In other words, capital efficiency remains a strong suit of tech companies in general, and while there are various reasons for why investors may consider opportunities outside of tech, I believe the sector remains a structural winner regardless of election outcomes.Furthermore, in an environment where the corporate tax rate is expected to diminish, and tax repatriation holidays offered, the tech space remains better positioned to capitalize on a Trump election cycle despite regulatory concerns that are not yet substantiated, as much of the fear mongering was generated via the Democratic Party’s Super Pac, which rarely ever spreads accurate or reliable information. Of course, the same could be said for the GOP.