Here's how some of 2020's top mutual fund managers are approaching the Biden presidency

Published Sun, Nov 29 20208:26 AM EST

Jesse Pound @/in/jesse-pound @jesserpound

(This story is for CNBC Pro subscribers only). Some of the best mutual fund managers of the year say they are sticking to many of their long-term strategies despite a change in power in the White House and the expected arrival of a Covid-19 vaccine. The U.S. stock market has roared in November, as Joe Biden's victory in the presidential election was not accompanied by a "blue wave" down ballot and progress on coronavirus vaccines buoyed hopes for an economic recovery. Three mutual fund managers that are beating the market in 2020 told CNBC that they were bullish on equities, especially under a potentially divided government, and that they were sticking to their focus on long-term disruptive trends. "Those trends go marching on regardless of the set up in Washington," said Alex Ely, the chief investment officer for US Growth Equity at Macquarie Investment Management. Ely's Delaware Small Cap Growth fund class A shares are up nearly 75% for the year . Thomas Davis, the global equity portfolio manager at Jennison Associates, echoed that sentiment. "What's really been important for us pre-pandemic and during the pandemic and that we think will continue to be important after the pandemic is over are these trends toward the digitalization of both the consumer and the enterprise," Davis said. "And these trends are going to continue regardless of who's in power in the White House." Still, there are some of those trends that could see a boost under the Biden administration. Speaking generally, Davis said that Biden's tenure should be a positive for stocks tied to renewable energy. "I do think that a Biden administration will be far more environmentally friendly, shall we say, than the last four years' administration," Davis said. At the end of October, the largest holding in PGIM Jennison Global Opportunities Fund , which has Davis as one of its fund managers, was Tesla . The fund's class Z shares are up about 60% year to date. The outlook for the Biden presidency also can't be separated from the expected arrival of a vaccine. One of Ely's top holdings is gym chain Planet Fitness , which had to close many of its locations around the country due to the pandemic. "We wouldn't own it if we didn't believe the pandemic was coming to an end. The number one thing that young people want to do when this ends is interact. They want to go to restaurants, they want to go back to the gym, they want to go to events, they want to do other things like that," Ely said. Potential regulation of tech and social media companies may be one of the few areas of bipartisan agreement in Washington, but Thomas O'Halloran — a fund manager at Lord Abbett whose Growth Leaders Fund is up more than 60% year to date — said he didn't expect any major tech policy changes under a Biden administration. "We need to remember that the social media companies provide us their offerings for free. So I question how far the government intrusion will ultimately go with them," O'Halloran said. "I think they're fine. It could be that the new administration presents a bit more risk, but I don't think it alters the fact that these continue to be in powerful long-term uptrends." O'Halloran said that he thought social media stocks were particularly attractive right now, thanks to shifts in media consumption and the advertising market during the pandemic. Facebook and Pinterest were two of the fund's top 10 holdings as of Oct. 30. One factor of the 2020 election that has not been settled is control of the Senate. Republicans hold 50 seats, but both Georgia seats are up for grabs in a January runoff. Ely and Davis mentioned those races as a source of risk in the near term. "If for some reason the two Democrats win those elections, then you're at a point where you have a 50-50 split that might allow for a little more aggressive policy changes from the Biden administration," Davis said.

U.S. President-elect Joe Biden announces his national security nominees and appointees at his transition headquarters in Wilmington, Delaware, November 24, 2020.

Joshua Roberts | Reuters

(This story is for CNBC Pro subscribers only).

Some of the best mutual fund managers of the year say they are sticking to many of their long-term strategies despite a change in power in the White House and the expected arrival of a Covid-19 vaccine.

The U.S. stock market has roared in November, as Joe Biden's victory in the presidential election was not accompanied by a "blue wave" down ballot and progress on coronavirus vaccines buoyed hopes for an economic recovery.