Viewpoint

 

 

 

The Next Recession? Hold That Thought. - June 2019
When will the next recession hit? This question is often the subject of speculation and guesswork; yet few have an honest answer. It is not a pessimistic query. Investment choices are as much psychological as they are strategic and tremors regarding recessions are real. It’s normal to think that after an abnormally long period of sub-par expansion that economic growth has to end… sometime.
 

A Financial Clash Between Generations - May 2019
Family dinners are likely to be much more interesting in the future. A debate about paying entitlements may be the topic de jour. In an era of increasing political polarization it has become too easy and too simplistic to paint the many combative issues with just a swipe of a broad “Blue vs. Red” brush stroke. This is a big mistake for a host of financial, macro-economic, and societal reasons. While there are certainly strident and palpable political divides, there are other divisions in our society that are harder to put into easily labeled boxes. Mayor Pete’s recent discussion about “generational equality” strikes a resounding chord with many.
 

Are Risk Assets Pricey? - May 2019
Here is the latest update of a popular market valuation method using the most recent Standard & Poor's "as reported" earnings and earnings estimates and the index monthly average of daily closes for the past month. 
 

Understanding Taxes: Part Two - April 2019
In Understanding Taxes: Part One, we wrote about the unprecedent rise in budget deficits, a slower and disproportionate rise in tax revenue despite forty years of tax cuts, and the public’s lack of interest and overall awareness of the tax code. Today, we will first address the growing macro-economic pressures that decades of tax cuts and government deficits have on the current climate.  Second, we will consider how an unknown future tax paradigm may impact the net return of our personal balance sheets.
 

Understanding Taxes: Part One - March 2019
What might you respond to an advisor who emphatically tells you that taxes will, without a doubt, increase in the future? Would you thank them for being a wise fiduciary and for thinking proactively to help you prepare for a future of potential economic and tax volatility? Or, would you chide them for being so pessimistic and encourage them to improve their outlook and attitude?
 

The Season for Tax Loss Harvesting - February 2019
During volatile down periods in the market such as we saw in December, we were busy for many reasons. We worked with our clients to educate them about what was happening (markets go up and down) but also to perform constructive triage via Tax Loss Harvesting - an important element of a wise investment strategy meant to help save investors’ money over time.
 

The Unexpected is "Normal" - January 2019
What is one of the top challenges faced by any fiduciary in an era of 24/7 news bombardment? The answer is reminding their clients of this critical fundamental fact: most financial goals will take years of review, honing and attention.What is one of the top challenges faced by any fiduciary in an era of 24/7 news bombardment? The answer is reminding their clients of this critical fundamental fact: most financial goals will take years of review, honing and attention.
 

2019 Stakeholder Report - January 2019
We thank you in advance for taking the time to read the following synopsis of 2018, some thoughts on the year ahead, our practice update, and a few tax season guidelines.
 

How to Keep Your Wits When Volatility Occurs - December 2018
Pick any day or a couple of days when markets swoon and one thing is as sure as Newton’s Law of Gravity: the Pavlovian reaction of greed and fear among investors. When you throw in 24/7 news cycles of social media speculation and news with reports lacking historical context, it’s easy to see why a herd mentality of an encroaching panic can set in.
 

2018 Holiday Thank You - November 2018
The Holiday Letters are firing up, our talented team is crafting our own greeting to each of you, and Thanksgiving provided us all with an immense sense of gratitude.  Our client’s support during our migration to Steward Partners still brings a flood of emotion for us. The Holidays are here!
 

This is What a Correction Feels Like - November 2018
In July of this year, a major investment firm announced that ‘global markets were on track to be the most volatile since 2008’1. For many, this was hard to imagine at the time. Now, not so much. October 2018 was a healthy reminder of what a correction feels like. As you can see below, most global equities are off from their 52-week high. For some, the question is, now what? And for most, the answer should be, do nothing.
 

Planning for Life Events: Housing Transitions - November 2018
For most people, housing transitions are infrequent, though hugely influential. After paying expenses devoted to taxes, savings, and children, housing-related expenses (mortgage costs, taxes, upkeep and insurance) typically consume the largest percentage of income during our working years and, if we’re not careful, a disproportionate percentage of our nest egg during our retirement years.
 

Year End 2018 - November 2018
After 34 years at AG Edwards and firms that acquired us, we learned that bigger is certainly not better.  As we reflect on this past year and the myriad steps we took to protect you as we moved in April to Steward Partners, we wish to express our deepest gratitude for your unwavering and overwhelming support – before, during, and after our transition.  You are collectively the reason why we are re-energized and proud to work on your behalf as fiduciaries and as partners. We are thrilled with the new tools at our fingertips and we are happy to be growing our practice once again.
 

Do Investors Know What the Protocol Means? - October 2018
While we live in most uncertain times, one would like to be assured that “financial advisors” would act as fiduciaries for their clients - placing client needs before their own as well as their firm’s needs. Sadly, for too many investors, that has been and is now a costly assumption to make. Transparency is the fundamental basis of trust. Transparency has become a pleasant “buzz word” used in our profession but it is more bandied about than practiced consistently.

 

Why Do We Pay More Than We Should? - August 2018
Tax deferral in one’s 401ks and retirement savings are often a case of “out of sight, out of mind”. Automated savings is understandably easy to do but, as always, there’s often a critical catch: will your nest egg be worth what it should be in real, spendable, after tax dollars when you need it?
 

The Cyclicality of Markets - August 2018
Ben Carlson, author of A Wealth of Common Sense, offers a great perspective on the inherent long-term cyclicality of global markets. It’s hard for many to imagine, especially given the events of the last eight years, but since 1970, the MSCI EAFE (Europe, Australasia, and the Far East) has outperformed the U.S. in 25 out of 48 calendar years. 
 

The Virtue of Stewardship - July 2018
The reference dictionary.com defines the word “steward” as “a person who acts as a surrogate of another or others, especially by managing property, financial affairs, an estate, etc.” In addition to being fiduciaries for our clients, we believe being stewards of our community is equally important.  Both clients and our community are hoping to achieve long term and sustainable goals.
 

The Sedoric Group Q&A - June 2018
Please enjoy this insight into the why and the how of our new partnership with Steward Partners and relationship with Raymond James evolved and developed. We thank you for your patience, encouragement and support in making this transition as seamless and productive as possible, and are so grateful for your continued trust as we embark upon this new and exciting chapter together. 
 

Preparing for the Future Today - April 2018
The future landscape of the financial services industry continues to knock, knock, knock on the door today - and every day. Whether financial services firms will be welcomed in the future, or not, will likely determine if they will survive.  How might the current firms even thrive in a tomorrow that is rapidly changing and being structured now is unknown.
 

The Bill for Financial Illiteracy is Past Due - March 2018
If the miracles promised you by the pharmaceutical industry seem to dominate the advertising between your favorite television shows, a close second is the financial services industry with ads aplenty about how company XY or Z can miraculously help you and your family set and meet your life’s goals. Why are we bombarded by these often misleading messages? As the once legendary bank robber Willie Sutton allegedly said, “It’s where the money is”. Or at least it should be. 
 

A Sharing Economy Comes With a Price - February 2018
By any measure, the emergence of the so-called “sharing economy” is one of the most dynamic and little understood economic earthquakes of the still-young 21st Century. This is, in part, because the term sharing economy (also known as the gig economy or collaborative economy) is mostly opaque. The sharing economy is described as “an economic model often defined as a peer-to-peer based activity of acquiring, providing or sharing access to goods and services that are facilitated by a community based on-line platform.”
 

2018 Stakeholder Report - January 2018
The Sedoric Group has never been more energized to help clients reach their desired destination in this environment. We are fiduciaries and everything we do is with our client’s goals and objectives in mind. It is because of you we continue to invest in the evolution of our team and the array of services we provide. We thank you in advance for taking the time to read our annual Stakeholder Report and promise that whatever 2018 has in store, we look forward to managing and overcoming challenges together with you.
 

What Is "The Protocol"? - January 2018
Imagine a sports team with aging “stars” that are hard to replace, fans who invest their hard-earned money and deserve the best, and team owners having trouble adapting to a new game plan and focused more on their own bottom line than providing the best tools and best talent for their fans. This sounds like a losing proposition in the long run, doesn’t it?