The June 2021 Market Thoughts Video is now available on our website. Listen in as Brad McMillan, Commonwealth’s CIO, recaps the market and economic news for May. It was a mixed bag for the markets, with the Dow up more than 2 percent, the S&P 500 up slightly, and the Nasdaq down. On the medical front, case growth and death rates declined, and more than 4 of 10 people are now fully vaccinated. With fading medical risks, the economy continued to improve. Layoffs are trending down, and consumer confidence remains close to pre-pandemic levels. So, could we be back to normal by the summer?
In the big picture, the inflation we're now seeing could be a temporary phenomenon, driven by a much faster recovery from the pandemic than expected, combined with the usual snafus as the world economy tries to spin up quickly. Those effects are real. But, is that scary inflation print really as bad as it looks? Brad McMillan, Commonwealth's CIO, and Peter Essele, Vice President of Investment Management and Research, take a closer look.
If you’ve been diligently investing for retirement and now it's on the horizon, now would be a good time to familiarize yourself with the concept of Sequence-of-returns risk as this could have a significant impact on your portfolio. Sequence-of-returns risk is the chance of experiencing poor investment returns at the wrong time. Learn more about Sequence-of-returns risk and why it matters in this short video.
Many people had their financial plans derailed in 2020. You or your spouse may have lost a job or been hit with unexpected expenses for medical care, assisting family members, or other reasons. Financial stress may have forced you to make tough choices. As a result, you may need to get back on track financially. One of the first areas to tackle should be your credit score. Read more...