Case Study: A Concentrated Position Can Be Detrimental to Your Portfolio

Principal Jennifer Thomas, CFP®, and Managing Associate K.C. Smith, CFP®, join Chief Investment Officer Troy Harmon, CFA, CVA, to discuss investors who hold on to a concentrated stock position because they don’t want to pay taxes on the gains. They look at General Electric as a current example, and how a concentrated position can be detrimental to your overall portfolio.

Market Roundup: Mixed Returns on Slipping Energy Prices

Last week was a mixed bag of returns as the Large Caps of the Dow Jones Industrial Average and S&P 500 lost value for a second consecutive week, while the tech-heavy NASDAQ posted gains. The market kicked off the week Monday with slight gains led by Consumer Discretionary sector stocks on a variety of economic news and strong sales numbers. Indices ended the trading day in red territory on Tuesday, pulled down by the Energy and Basic Materials sectors. In economic news, producer prices ticked up in October, as The Producer Price Index jumped up 0.4%, exceeding expectations of a 0.1% increase. Over the past 12 months ending in October, producer prices are up 2.8%, marking the largest rise since an advance of 2.8% for the 12 months ending February 2012. Midweek, the major indices were down again as Energy sector stocks traded lower on a slip in crude oil prices. Additionally, Energy Information Administration figures showed crude inventories increased by 1.9 million barrels last week versus expectations of a one million barrel decrease. While producer prices have risen, that increase hasn’t been reflected in consumer prices yet. For October, consumer prices rose a scant 0.1%, according to the Consumer Price Index. Core prices, which excludes food and energy, increased 0.2% for the month. Indices increased on Thursday on news that the labor market is in good health. The advance number for unemployment insurance benefit claims during the week ended November 4 was 1,860,000, a decrease of 44,000 from the previous week’s level. This is the lowest level for insured unemployment since Dec. 29, 1973, when it was 1,805,000. Indices lost ground on Friday, bringing both the Dow and S&P 500 into negative territory for the week. The NASDAQ eked out slight gains for the week.

Money Talks – November 11, 2017

This week on “Money Talks,” Troy Harmon, CFA, CVA, is joined by Managing Associate D.J. Barker, CWS®, and Senior Associate Jarrett McKenzie, CFP®, CWS®, to discuss the breather the market took this week from the steady rally of the past month. They discuss why the market looks expensive and what investors can do for their portfolios. D.J. and Jarrett discuss a common financial planning situation where a family is concerned about protecting assets from an heir’s future ex-spouse. The experts round out the show answering listener questions on injecting money into the economy; tax loss selling Under Armour, Kroger, and Allergan; and an investor who wants to pause on his retirement savings.

Market Roundup: Run of Consecutive Weekly Positive Returns Ends

Indices landed in new record territory on Monday, as Energy stocks ramped up on an increase in crude oil prices. West Texas Intermediate crude gained 3.1% to settle at $57.35 a barrel. The S&P 500 Index’s five-day winning streak was snapped Tuesday, slipping less than 0.1% for the day. The tech-heavy NASDAQ also fell while the Dow Jones Industrial Average gained nearly 0.1%. Small gains on Wednesday led to record highs for the three major indices, as a jump among technology brands bolstered a dip in financials. A bit of a breather came on Thursday when Technology brands traded lower. In economic releases, the Department of Labor showed new jobless claims increased by 10,000 to 239,000, missing expectations. Trading was mixed on Friday with the Dow and S&P 500 closing in the red zone while the NASDAQ ticked up slightly. Consumer confidence is on the wane for November according to the University of Michigan’s consumer sentiment index. The index reading slipped 2.9 points to 97.8 versus expectations of 100.9. Trepidation over proposed tax reform took a toll on large caps during the week, ending what had been a run of consecutive weekly positive returns.

Money Talks – November 4, 2017

This week on “Money Talks,” Troy Harmon, CFA, CVA, is joined by fellow Research Analyst Nick Antonucci, CVA, and Managing Associate Shawna Theriault, CPA, CFP ®, CDFA ®, to discuss the week’s market movements, sector analysis, and economic releases including consumer confidence, housing news, and the ISM Manufacturing index. Shawna shares some advice for families when it comes to planning for incapacity, whether it be for aging parents who can no longer take care of themselves, or an accident that leaves you unable to make financial or health decisions for yourself. The experts address a variety of listener questions including the run up of the Financials sector, IRA rollovers, bond ladders, and electronic accessories company Zagg, Inc.

Case Study: Even Married Couples Need to Discuss Power of Attorney

This week, Managing Associate Shawna Theriault, CPA, CFP®, CDFA®, joins Chief Financial Officer Troy Harmon, CFA, CVA, and Research Analyst Nick Antonucci, CVA, to share some advice for families when it comes to planning for incapacity, whether it be for aging parents who can no longer take care of themselves, or an accident that leaves you unable to make financial or health decisions for yourself.

Market Roundup: Slight Gains for Large Caps, Buoyed by Earnings and Economic Reports

The benchmark indices were mixed last week as large caps and tech stocks performed well, while small caps took quite a hit. The S&P 500 closed the week posting gains for the eighth straight week. The market kicked off the week with lackluster performance as the major indices closed in the red zone on Monday. One bright spot was an economic report that showed personal income ticked up in September. Nominal income edged up 0.4% last month versus a 0.2% increase in August, and exceeded expectations of a 0.2% jump. Corporate earnings releases boosted the market on Tuesday with Consumer Discretionary, Energy and Technology sectors showing leadership. Consumer confidence reached its highest level in almost 17 years in October, according to The Conference Board’s Consumer Confidence Survey. Boosted by what is perceived as a strong jobs market and improving business conditions, consumers expressed confidence in the present economy while expecting it to improve in the near term. Midweek, the indices closed mixed with the Dow Jones Industrial Average and S&P 500 Index stepping up while the NASDAQ shed points. Moves were mixed in the wake of comments from the Federal Open Market Committee’s two-day meeting. The Fed left interest rates unchanged at 1% to 1.25%, but said it would consider lifting them before year’s end on signs the economy was gaining momentum. Additionally, the president nominated a new chairman of the central bank to succeed Janet Yellen. Friday was dominated by economic reports the Purchasing Managers’ Index and the ISM Non-Manufacturing Survey. PMI registered 54.6 in October, up from 53.1 in September, while the services sector grew in October, registering 60.1, which is the highest reading since the index debut in 2008.