Champagne to Win Out in French Presidential Election

As right-wing candidate Nicolas Sarkozy and socialist contender Ségolène Royal battle it out for the French presidency, LVMH, the world's largest luxury-goods company, could emerge as an unexpected winner. A Sarkozy victory in the second round of the contest on May 6 could see his supporters variously quaffing LVMH products Dom Pérignon, Moët & Chandon and Veuve Clicquot to celebrate his triumph and perhaps finishing with a Hennessy cognac. If Sarkozy enters the Palais de l'Élysée, he will seek to make companies more efficient by

A Royal electoral win could equally see ‘champagne socialists’ reaching for the champagne glass. In contrast to her conservative adversary, Royal is looking to spur consumer demand by increasing job security, pension spending and the minimum wage.

Christian Dior, which has a controlling stake in LVMH (Moët Hennessy-Louis Vuitton), is a significant holding in Gartmore European Selected Opportunities Fund, and the Gartmore SICAV Continental Fund run by Roger Guy and Guillaume Rambourg.