News & Info

Quarterly Client Letter

Stay The Course… Whether your objective is to loose weight, spend more time with family, improve your career or enjoy a financially secure retirement, your ultimate success is most likely dependent on your ability to adopt a plan and stick to it. More often than not, when we look back on endeavors that did not result in the outcome that we desired, we find that we didn’t stick to the plan we had established.

The first quarter of 2014 presented several opportunities or excuses to sway from the course in the financial markets. After a very strong year in 2013 we entered 2014 with a drop of approximately 6.5% in the S&P 500 from late January to early February. However those who stuck to their plan saw a new high notched by early March. Mid march found new turmoil via the pass through of weather related drags on the US economy and international issues via Putin and Crimea. However in spite of the volatility and head winds the S&P 500 Index ended the quarter up 1.81%, the MSCI EAFE Index up 0.66% and the Barclays Aggregate Bond Index up 1.84%.

As we move forward into the remainder of 2014 we anticipate more volatility as we revert to the historical mean. This will test investor’s nerves and patience as we anticipate a move back to large day- to-day swings. However, the US economy remains in expansion mode. The housing recovery continues to provide a boost to the economy. Political head winds are expected to remain suppressed through the midterm elections and the FED, while pulling back, continues to provide accommodative monetary policy. Finally from an international perspective, Europe appears to be on the mend, which should provide a modest boost to US exports.

In summary, we continue on our theme of the past several quarters of increasing volatility set atop an improving economy. Should you feel that your portfolio is not currently positioned to help you Stay The Course, we look forward to hearing from you.

As always we appreciate the opportunity to be of service.

Investing is subject to risks including loss of principal. No investment strategy can guarantee a profit or protect against loss. Past performance cannot guarantee future results. Indexes are unmanaged and cannot be invested in directly. This material may contain forward looking statements and projections; there are no guarantees that these results will be achieved. It is our goal to help investors by identifying changing market conditions; however, investors should be aware that no investment advisor can accurately predict all of the changes that may occur in the economy or the stock market.

Archives of Past Quarterly Client Letters