Keeping This Correction in Perspective
After 20 months of relative calm, this volatility needs to be taken in stride.
Provided by: Luke M. Johnson
Are you upset by what is happening on Wall Street? It may help to see this pullback within a big-picture context. Corrections have become so rare as of late that when one occurs, emotion threatens to influence investment decisions.
So far, February has been a rough month for equities. At the close on February 8, the Dow Jones Industrial Average was officially in correction territory after a slide occurred, which included two 1,000-point descents within four days. Additionally, nearly every U.S. equity index had lost 7% or more in the past five trading sessions.1,2
This drop is troubling, yes – but not...
Why Having a Financial Professional Matters
A good professional provides important guidance and insight through the years.
Provided by: Luke Johnson
What kind of role can a financial professional play for an investor? The answer: a very important one. While the value of such a relationship is hard to quantify, the intangible benefits may be significant and long lasting.
A good financial professional can help an investor interpret today’s financial climate, determine objectives, and assess progress toward those goals. Alone, an investor may be challenged to do any of this effectively. Moreover, an uncounseled investor may make self-defeating decisions.
Some investors never turn to a financial professional. They concede that there might...
Financial Markets Commentary – The Aftermath of Brexit
June 24, 2016
To the surprise of most investors around the globe, yesterday the U.K. voted 52% to 48% in favor ofleaving the European Union (EU) after more than four decades in a stunning rejection of thecontinent’s postwar political and economic order. Prime Minister David Cameron resigned, statingthat he would serve another 3 months until his replacement is elected. Financial markets around theglobe responded with stocks selling-off while bonds and gold are rallying.
Trade Update – June 15, 2016
Yesterday we eliminated all direct exposure to European stocks by selling IEV (IShares Europe ETF) across assetallocation accounts greater than $100,000. Proceeds from the sale were invested in cash (money market sweep fund).
|IEV Exposure Pre-Sale|
Trade Update – March 10, 2016
With all 3 of our tactical indicators (fundamental, valuation, and technical analysis) directing us toincrease exposure to U.S. Mid Cap stocks, earlier this week we raised exposure to this asset classacross all asset allocation strategies from underweight to equal-weight to the strategic target. Weaccomplished this by buying more IJH (IShares Core S&P Mid-Cap ETF). Funding for the purchasecame from cash.
Stocks over the past two weeks have benefited from seller's exhaustion and stabilization in the priceof oil. Stocks appear to be building...