“You Retire Once… I Help People Retire Everyday”
Looking at market performance since the start of the year, one might think that not much has happened, with both stocks and bonds recording modest gains over the period.
In reality, under the hood markets appear to be going through a consolidation or digestion phase with the S&P 500 hovering around 6,000 and U.S. 10-year treasury yields appearing range bound around that4.5% mark since mid-December. This consolidation phase is very normal to go through after a nice expansion period such as the one we had in 2024.
Nevertheless, these movements mostly reflect the hesitancy of investors who are confronted with major conflicting forces. On the one hand, a U.S. economy that still seems on track to nail the ‘soft-landing’ and, on the other, a brutally unpredictable Trump administration.
While positive developments emerged during the month of January on the ‘soft landing’ front, it appears that all that remains now is for the Federal Reserve to take its foot off the brake and move monetary policy into a more neutral territory. But they don’t seem in any hurry at this point considering the uncertainty, or more accurately, the unpredictability inWashington.
For now, it remains to be seen whether, and to what extent, the new Trump administration’s unrestrained use of the word and tariffs themselves can change matters.
In this February edition of Market Perspectives, I decided it was best to focus and dig into the topic of the moment that is on everybody’s mind, tariffs. I hope you find it both insightful, and of timely value. Click to the link at the bottom to read on.
In my January monthly publication, I highlighted ‘Seven Important Things to Remember in 2025’. If you don’t recall, missed it, or need a refresher perhaps this would be a good opportunity to head over and check that out!
Without fail, every year is going to present ‘scary’ headlines. These ‘scary’ headlines spark volatility, in turn create opportunities, and truly is the toll we pay to invest. Perfectly normal. Rinse and repeat, tale as old as time.
I get it through, it’s much easier said than done.
When the road on the investment journey gets bumpy and obstacles present themselves, please take solace in knowing you have somebody in your corner. These times allow me to present value to you and is exactly why you have paired your wealth with an advisor who is committed to help you mitigate the chaos with calm, process, and discipline.
When constructing portfolios, I take in consideration and accept the fact that at some point there will be bad news, unforeseen circumstances, and constant change. The process is designed to weather the storms, so knee jerk reactions are never advised or required. The difference between investment success or investment failure ultimately depends on an investor’s ability to remain focused on the proven principles.
As a fiduciary, I am deeply committed to seeing my clients win first and foremost. My eyes are on the road, my hands are on the steering wheel, and we are headed to success together. If you have any questions or concerns, please feel free to reach out.
Thanks for taking time out of your busy day to staying informed. AP
