Five Things to Know This Week

1. Market Update

Will the ‘W’ shape recovery continue? Since the primary market bottom of 2,192 of the S&P 500 on March 22nd, we have seen a 25% increase in the S&P. This is likely a bear market rally. We will likely see another test of equity market lows in the coming weeks as we enter earnings season and experience a tough 2nd quarter; however, we see another rebound before the November elections. We remain concerned for the markets for at least the first 2 quarters of 2021. We will therefore keep your assets more conservative and will buy only when we see opportunities for long-term growth.

***If you need money for near-term expenses, please contact us this week to review.

2. Fraud

Please be on the lookout for fraud right now. Scammers are pretending to be from the federal government offering stimulus checks and/or loans right now. The terms “stimulus check” or “stimulus payment” are commonly used in these scams. The proper term is “economic impact payment.” The IRS will NOT call you to verify your personal or bank information. If you are unsure, forward the correspondence to us and we are happy to help and remember, never give your personal identifying information (social security number, birthday, etc.) over the phone or email.

3. Required Minimum Distributions on Hold

If you normally take an annual RMD (ages 72+ or have an inherited IRA), the CARES Act allows you to choose not to take this distribution for calendar year 2020. We suggest that if you do not need cash from your retirement account right now, it would be smart to skip your RMD this calendar year.

4. Family Preparedness

Planning ahead for any health emergency is not just good for your own peace of mind, but it also has a direct impact on how medical personnel can respond effectively. You may not be able to be at the patient’s side or provide necessary information when medical decisions are being made. In a readily accessible envelope, have a list of each family member’s prescription and non-prescription medications and supplements, allergies, and any other information that would be critical for health professionals to be aware of. A Medical Power of Attorney and/or Advanced Directive and the patient’s personal physician’s name should also be included.

5. Self Care

Good self-care is key to improved mood and reduced anxiety. Make sure to find time for yourself to pursue
an activity you truly enjoy: reading, gardening, cycling. Although gyms are closed, there are plenty of exercise videos and websites available, many of which are free. Inexpensive equipment – hand weights, body bars, etc. – are available for delivery from numerous sources. Combined with stretching or yoga, a workout is a good foil for ambient stress.

As always, we are here as a resource for those that you care about and for. If you are worried that your family and/or friends may have been given improper financial guidance or are losing their hard-earned assets, we are available for a free second opinion or guidance to make sure they stay financially safe.

Be well and have a wonderful week!