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A Stark Contrast

Client Question of the Month: Why do I still own bonds when their returns have been negative?

By Matt Hargreaves / November 16, 2022 / Comments Off on Client Question of the Month: Why do I still own bonds when their returns have been negative?

Bonds historically have helped stabilize portfolios when markets—particularly stock markets—grow volatile. The US bond market has recorded positive returns, before inflation, in all but four years since 1976. High-quality bonds, in particular, have typically held their value when stocks have endured their worst periods of performance. 2022 has been an outlier – bonds haven’t stabilized…

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2022 3rd Quarter Investment Commentary

By Matt Hargreaves / October 13, 2022 / Comments Off on 2022 3rd Quarter Investment Commentary

The macroeconomic factors of rising interest rates and stubborn inflation remained chief concerns and weighed down both stocks and bonds. Despite a strong employment picture, economic data continued to moderate, and markets priced in a rising risk of recession in 2023. Stocks ended the quarter at reasonable valuations and bond yields were at their highest…

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What Should you do when there’s Market Volatility?

By Matt Hargreaves / August 12, 2022 / Comments Off on What Should you do when there’s Market Volatility?

During this time of market volatility, we want to share the things we are doing and some things that you can do to help ease your worries. Rebalancing your portfolio. Volatile times can lead to rebalancing opportunities. Market changes can skew your allocation from its original target. We may rebalance your portfolio by selling positions…

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real GDP

2022 2nd Quarter Investment Commentary

By Matt Hargreaves / July 15, 2022 / Comments Off on 2022 2nd Quarter Investment Commentary

 • Stocks and bonds had a difficult start to 2022, falling together through the first half of the year. Rising interest rates amid an inflation spike was the main catalyst. • The economic backdrop remained uncertain with the U.S. economy contracting in the 1st quarter. Data was mixed but recessions risks increased. • Better…

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60-40 annual returns

Market Update: May 2022

By Matt Hargreaves / May 13, 2022 / Comments Off on Market Update: May 2022

As we move into spring and leave behind the last signs of a long winter, many worries from a chilly start to the year for markets, unfortunately, are still with us. The S&P 500 Index had its worst April in more than 40 years, and the decline has continued in May leaving the index down…

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I Bond

Series I Savings Bonds Currently Earning 9.62%

By Chelsie Smith / May 12, 2022 / Comments Off on Series I Savings Bonds Currently Earning 9.62%

Series I Savings Bonds (also called I-bonds) are currently earning 9.62%. The rate is determined in part by inflation, and changes every six months. The interest is tax-deferred until redeemed. If you have extra cash on the sidelines over your “rainy-day fund”, consider purchasing I-bonds to help your money keep up with inflation. These bonds…

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2022 1st Quarter Investment Commentary

By Matt Hargreaves / April 14, 2022 / Comments Off on 2022 1st Quarter Investment Commentary

• The war in Ukraine, high inflation, and rising interest rates increased volatility. Both stock and bonds fell during the quarter. • Corporate balance sheets and earnings were on track to hit record highs in 2022. • The risks to an economic slowdown increased but the U.S. economy still appeared on track to grow through…

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What Can Investors do to Hedge Inflation?

By Matt Hargreaves / March 17, 2022 / Comments Off on What Can Investors do to Hedge Inflation?

If you missed part 1 on the current inflation environment, here is a quick summary: Inflation is at 40-year highs in the United States. However, sustained periods of elevated inflation in the U.S. are rare. Over the past 100 years, U.S. inflation has stayed below 5% the vast majority of the time. In the aftermath…

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range of stock & bond returns

Market Update: February 25, 2022

By Matt Hargreaves / February 25, 2022 / Comments Off on Market Update: February 25, 2022

It has been a rough start to the year for risk assets with the S&P 500 off 11%+ and U.S. growth stocks down even more. Both the Fed’s hawkish pivot and the Russia/Ukraine conflict have weighed on risk assets. We haven’t seen a 10% correction in the S&P 500 since March 2020, and we only…

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Market Update Pic 1

Market Update: February 15th, 2022

By Matt Hargreaves / February 15, 2022 / Comments Off on Market Update: February 15th, 2022

Market Update The U.S. economy continued to grow at a fast pace. 4th quarter 2021 data showed that the U.S. economy grew 5.7% for all 2021, the most significant increase since 1984 (1). 2021′s strong growth created a lot of good outcomes, including a record 6.4 million jobs and higher wages to workers. But it…

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