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2021 Q3 Review and Outlook – Inflation, Stagflation or Neither?

The well-stimulated economy continued to power along in the third quarter of 2021, but the S&P 500 SPDR ETF (SPY) barely squeaked out a 0.6% gain. The U.S. bond market (as measured by the US Aggregate Bond ETF – AGG) was flat (-0.01% return), and a 60% stock/40% bond portfolio gained 0.3%.  Year to date,…

Five basic benefits of working with a financial planner

Thanks to the internet and YouTube, doing-it-yourself has taken on a new life.  For example, a young person we know was able to diagnose a problem with his clothes dryer, then order the key part and install it, thus saving the cost of an in-home repair.  Information that once might have been hard to find…

2021 Q2 Review and Outlook: Inflation: Transitory or Here to Stay?

The U.S. stock market continued to power along with a well-stimulated economy and COVID reopenings, as the S&P 500 SPDR ETF (SPY) gained 8.4% in the 2nd quarter. The U.S. bond market (as measured by the US Aggregate Bond ETF – AGG) returned 1.8%, and a 60% stock/40% bond portfolio gained 5.7%.  Year to date, the…

A Tale Of Two Plans

A trial has been set for August to determine the disposition of Aretha Franklin’s estate.  Initially everyone assumed the famous singer had died without a will.  However, three hand-written documents were later discovered that appeared to potentially be wills, some under the sofa cushions, and their terms were inconsistent.  In particular, questions were raised over…

The RMD Vacation Is Over

Last year seniors were given a reprieve from the requirement to take minimum distributions from their IRAs and qualified retirement plans.  The suspension of the rules, included in the CARES Act, was enacted at a time when the stock market had moved sharply lower, and so it was intended to prevent a forced emptying of…

2021 Q1 Review and Outlook: “I believe that markets will fluctuate.”

The U.S. stock market continued to climb out of and above the hole it dug in 2020, with the S&P 500 SPDR ETF (SPY) gaining 6.4% in the 1st quarter. The U.S. bond market (as measured by the US Aggregate Bond ETF – AGG) declined 3.4%, and a 60% stock/40% bond portfolio gained 2.5%. For…

Ask a Trust Officer: Roth IRA versus Traditional IRA

DEAR TRUST OFFICER:   I have $6,000 to put into an IRA before I file my tax return for 2020.  Which is better, the traditional IRA or the Roth IRA? — TARDY SAVER DEAR TARDY:   There is no simple answer to your question, unfortunately.  Do you qualify for the tax deduction for the contribution…

2020 Q4 Review and Outlook: A Very Good/Very Bad Year

Imagine two archivists sifting through old stock charts 1,000 years from now and saying to each other “2020 must have been a great year!”  The U.S. stock market finished a very bad year on a very strong note, with the S&P 500 SPDR ETF (SPY) gaining 12.1% in the 4th quarter. The U.S. bond market (as measured…

Annuities: Approach with Caution (Free Dinners Aren’t Free)

Have you ever received a mailer about a “free dinner” at a local restaurant? All you must do to earn your $50 steak and $12 glass of cabernet sauvignon is listen to a “financial advisor” give you a pitch about “strategies to protect your nest-egg,” or “how to ensure a stress-free retirement in these turbulent…