Client Newsletter: March 2022

Client Newsletter: March 2022

March 15, 2022

Private Client Newsletter

Dear Investor,

The green shoots are hard to see right now as spring approaches, clouded by war in Ukraine. Democracy is under attack and innocent lives are tragically being lost. But while we keep one eye on overseas developments, the other remains squarely focused on the fundamentals of the U.S. economy and the stock market to help investors stay the course.

Geopolitical uncertainty can be tough for investors to manage. The natural impulse for many is to sell, which history clearly shows is usually poorly timed. As difficult as it may be to see the green shoots through the fog of war, these periods usually end up representing good buying opportunities for investors.

Read the entire letter here.

Client Announcements

Is This Correction Normal?

Although it may feel different, 2022 is still within similar historical patterns for Midterm election years. It's not uncommon to have an intra-year pullback that results in a correction or bear market and have a significant gain a year later.

From LPL Research's Chief Strategist, Ryan Detrick:

"Midterm years see an average peak to trough correction of 17.1%.12.4% so far this year feels uncomfortable, but (we) need to remember this is normal in midterm years. The good news is a year later stocks are up more than 30%."

Financial Planning Tip of the Month

Create a Vacation Savings Account

We are advocates of consistent, quarterly time off to enjoy the fruits of your hard work. 

Consider creating an account that is solely for vacation purposes. Attaching a fixed percentage of your net income to that account will help with planning and spending without second guessing the total amount.