Equity markets around the globe posted negative returns in the first quarter.
Looking at broad market indices, US equities outperformed non-US developed markets and emerging markets.
Value stocks underperformed growth stocks in all regions. Small caps also underperformed large caps in all regions.
REIT indices underperformed equity market indices in both the US and non-US developed markets.
Under CARES Act, Required Minimum Distributions (RMDs) are not required in 2020.
Also, qualifying individuals can withdraw up to $100,000 from a retirement plan without the applicable 10% penalty.
Vanguard is forecasting a sharp contraction in Gross Domestic Product (GDP) in the coming quarter of nearly 17% on an annualized basis followed by a sharp upswing.
There is no proven way to successfully time the market. Missing only a few days of strong returns can drastically impact overall performance.
Equity markets around the globe posted positive returns in the fourth quarter. Looking at broad market indices, US equities outperformed non-US developed markets but underperformed emerging markets.
Value stocks underperformed growth stocks in all regions. Small caps outperformed large caps in the US and non-US developed markets but underperformed in emerging markets.
REIT indices underperformed equity market indices in both the US and non-US developed markets.
Stock and bond markets continued to rebound from the 2018 correction.
Asset classes can have very prolonged downturns like what happened with the S&P 500 during the “lost decade”.
Diversifying into other asset classes like emerging markets and small company stocks would have mitigated losses during the lost decade.
Just when investors begin to question the future viability of an asset class may be the point a reversal occurs— as what happened with
The estimated cost for healthcare in retirement is upwards of $285,000 for a couple.
Costs for women are expected to be higher then men.
Much of the costs are from Medicare Part B and D premiums, as well as out of pocket co-pays and deductibles.
Looking at broad market indices, US equities outperformed non-US developed and emerging markets during the third quarter.
Value stocks outperformed growth stocks in the US but underperformed in non-US and emerging markets. Small caps outperformed large caps in non-US markets but underperformed in the US and emerging markets.
REIT indices outperformed equity market indices in both the US and non-US developed markets.
markets around the globe posted positive returns for the quarter.
Developed markets stocks outside the US outperformed emerging markets equities but under-performed the US equity market during the quarter.
Interest rates decreased in the US Treasury fixed income market during the second quarter.
The yield on the 10-year Treasury note fell by 41 bps to 2.00%.
Stock and bond markets rebounded sharply in the first half of 2019.
Over the next 10 years, Vanguard expects stock and bond returns to be lower than the historical averages.
Vanguard forecasts higher returns for foreign stocks vs. US stocks during this period.
GMO’s 7-year return forecast is lower than Vanguard’s.
Stocks, as measured by the S&P 500, have neared their historical average return for only 6 out of the last 93 years – returns have varied widely for other years.
Equity markets posted positive returns around the globe in the first quarter. Looking at broad market indices, US equities outperformed non-US developed and emerging markets.
REIT indices outperformed equity market indices in both the US and non-US developed markets.
The Bloomberg Commodity Index Total Return returned 6.32% for the first quarter of 2019.
In response to rampant financial exploitation of senior investors, the SEC is now requiring financial institutions and services firms to ask for trusted contact information. Having a trusted contact could prevent you from losing substantial amounts of wealth due to fraud or fraudulent activity.
Read MoreEquity markets around the world posted negative returns for the quarter. Looking at broad market indices, emerging markets outperformed developed markets, including the US.
US equities underperformed both non-US developed and emerging markets.
After declines of 10% or more, equity returns over the subsequent 12 months have been positive over 70% of the time.
The increased market volatility in the fourth quarter of 2018 underscores the importance of following an investment approach based on diversification and discipline rather than prediction and timing.
Looking at broad market indices, the US outperformed non-US developed and emerging markets during the quarter.
Quarterly Topic: Total Cost of Fund Ownership. The article starting on page 16 illustrates to importance of mutual fund operating costs and that investors should consider going beyond expense ratios when evaluating options.
If you have not already completed your year-end tax planning, now is the perfect time to do so. Don’t wait until December when the holiday rush kicks in and you and your advisors have less time to devote to this very important task.
Read MoreLooking at broad market indices, the US outperformed non-US developed and emerging markets during the second quarter.
Almost all currencies depreciated vs. the US dollar.
Last year International Developed Stocks and International Emerging Stocks outperformed US Large Stocks.
Year-to-date US Stocks are outperforming International Stocks.
For the 10 year period from 2000–2009 the S&P 500 lost -9.10%. International investments logged significant gains during this period.
Looking at broad market indices, emerging markets outperformed developed markets, including the US, in the first quarter.
Non-US real estate investment trusts outperformed US REITs in the first quarter.
Interest rates increased in the US during the first quarter.
The yield on the 10-year Treasury note increased to 2.74%.
The amount you can pass without owing estate taxes essentially doubled as of January 1st thanks to the recently passed Tax Cuts and Jobs Act of 2017.
This estate tax provision will expire at the end of 2025.
Estate plans based on prior tax law should be re-evaluated to ensure your intentions match the current law.
Older estate plans may ultimately cost your beneficiaries more in taxes and/or unnecessary recordkeeping requirements.
