INVESTOR BRIEF
2019 Year End Tax Planning
As year-end approaches, it makes sense to go through a checklist of potential actions that could help lower tax burdens. We work with our clients’ tax advisors to implement saving strategies and incorporate tax efficiency within the Clear Rock investment management process. Here are some tax minimization techniques worthy of consideration for clients to preserve... Read More →
MARKET BRIEF
Bond Returns: Where do we go from here?
This year’s bond market rally has been one for the record books. A reversal in Fed policy and market fears of a slowing economy produced sharp declines in interest rates. High quality bonds as measured by the US Bond Aggregate (blue line) have produced a 10%+ return over the past year, higher than almost anyone... Read More →
Market Commentary
Q3 2019
A valuable tool in gaining insight into the overall strength of the stock market is the Value Line Geometric Index. This index tracks 1700 US companies, making it a great indicator of market breadth. It includes small, mid, large and mega cap companies. In addition, it is calculated using an equal weighting methodology, meaning that... Read More →
Market Commentary
Q2 2019
For over a year, we have been talking about a tougher climb for stocks. The climb resumed in the first half of 2019 but was almost entirely supported by monetary policy with very little help from earnings. In 2018, GDP grew above 3% and corporate earnings grew over 20%, marking one of the best years... Read More →
Market Commentary
Q1 2019
The US economy showed slight signs of slowing last quarter after a very strong 2018. Not slowing is new job creation which continues at a sturdy pace, pushing unemployment down to 50-year lows and bringing formerly discouraged, retired, and part-time workers back into full-time employment. Stocks and bonds recovered from their December 2018 sell-off, and... Read More →
Market Commentary
Q4 2018
REVIEW OF 2018 PORTFOIO CHANGES Throughout 2018, we enacted several portfolio changes intended to reduce portfolio risk given our cautious investment outlook then and into 2019. Changes in the Fixed Income portfolio were designed to improve quality and reduce exposure to corporate debt. The result of each portfolio change proved to add value. Credit strategies... Read More →
Market Commentary
Q3 2018
By almost any measure, the US economy is performing as well as it ever has. The jobless rate fell to 3.8%, the lowest level since 1969, supporting real wage growth and strong consumer spending. Corporate earnings are set to rise 25% this year bolstered by a large tax cut, and business and consumer confidence are... Read More →
Market Commentary
Q2 2018
Inflation and Interest Rates Moving Higher Short-term interest rates continued to move higher, pushed upward by the Fed’s continued pressure to normalize rates, while long-term interest rates took a breather during the 2nd quarter. After reaching a 5-year high of 3.11% in mid-May, the 10-year US Treasury ended only slightly higher at 2.86%. The yield... Read More →
The Great Wealth Transfer – Myth or Reality?
It’s widely estimated that a $30 trillion wealth transfer is poised to occur as baby boomers, history’s richest generation, prepares to bequeath their assets to their heirs. But, how is what’s dubbed as “the great wealth transfer” actually going to play out? Baby boomers are healthy, wealthy, educated and have time on their hands. Boomers’... Read More →
Market Commentary
Q1 2018
Early or Late Cycle? There has been a great deal of debate recently over where we are in the business cycle given the recent acceleration of economic growth. Does this expansion’s anemic growth (slowest on record) mean we have avoided the tendency to “overheat”? If so, what is the likelihood of breaking the previous record... Read More →