Smart Investing

Investing amid Uncertainty 

No one knows what the long-term ramifications will be on the financial markets and the economy due to the pandemic, the global economic shutdowns, and the massive governmental responses to it. 

In the near-term, virus vaccines and therapeutics may provide a tremendous boost of confidence for a return to normal, but the financial implications of the pandemic response will take a while to sort out. 

Global governments have borrowed and spent unimaginable sums of money to rescue their economies and have driven interest rates to near zero... and below.  Not only are these responses unprecedented, but they are very much experimental in that there is no proven policy to act as a guide to what happens next.  Everyone is learning as they go. 

The financial services industry is reevaluating whether traditional asset allocation strategies are still a reliable path to retirement security.  Doubts are being expressed as whether bonds represent a viable investment with today's near zero interest rates.  Will inflation or deflation likely prevail, and how will that affect the financial markets?  What assumptions should investors use for stock and bond returns as they try to plan their future.  Is using past performance a reliable guide?  

In my opinion, the caveat that “Past performance is not indicative of future results” still holds true.  

Nonetheless, I am optimistic.  I believe there are tremendous investment opportunities in the current environment for astute investors.

I believe we are entering into an age of transformation driven by technological innovation which is permeating every sector of the global economy and impacting every aspect of our lives.  The pandemic crisis has only accelerated its adoption in areas like e-commerce, video conferencing, telemedicine, streaming media, work-from-home, remote learning, electric vehicles, gene editing, and so much more, aided by rapid advances in artificial intelligence and machine learning. 

The good news is that we are only at the beginning of this very long-term trend. 

These innovative developments will reverberate throughout the economy and financial markets, but the effects will be felt unevenly. Companies and industries that that are able to adapt quickly and effectively will benefit.  Those that cannot will be at a great disadvantage.  These developments may present attractive investment opportunities for astute investors.  

My Investment Approach

My objective is to align my client's investments and investment strategies with their financial goals, so clients can work towards a greater likelihood of success with the least disruption along the way. 

I use well-researched and carefully selected mutual funds, exchange traded funds and annuities to implement investment strategies for my clients.  I also use a select group of prominent money managers to manage client asset allocation portfolios. 

All recommendations are individually tailored to the client's unique circumstances, goals, tolerance for risk, and time horizon, and monitored continuously. Should client circumstances change, such as retirement or changing jobs, or the investment environment change, the strategies and individual investments would be reviewed and appropriate changes recommended, if needed.

 

If you would like a review of your portfolio to determine whether your investments and investment strategies are in sync with your financial goals, I can help.

I provide a complimentary 45-minute consultation either by phone, Zoom conference, or in person.

Please click HERE to reserve your complimentary consultation.

 

Investing in mutual funds and ETFs involves risk, including possible loss of principal. Fund value will fluctuate with market conditions and it may not achieve its investment objective. 

Fixed and Variable annuities are suitable for long-term investing, such as retirement investing.  Gains from tax-deferred investments are taxable as ordinary income upon withdrawal. Guarantees are based on the claims paying ability of the issuing company. Withdrawals made prior to age 59 ½ are subject to a 10% IRS penalty tax and surrender charges may apply.  Variable annuities are subject to market risk and may lose value.