Financial Independence, LLC

Know Your Money

November 2026

One Record, One Round Trip.

October was a month of real movement beneath a quiet surface. The S&P 500 set a record close of 7,818.93 on October 6, then gave it back, finishing the month down less than 1% and about 3% below that high. The story was rotation rather than retreat. Technology and communication services sold off hard as investors questioned the pace of AI spending, while nearly every other sector moved higher. Here is your October recap, plus a note on rebalancing as we head toward year end.

Market Snapshot

October 2026 at a Glance

What Drove the Month

A Few Stories Worth Knowing

The AI Trade Took a Breather

Technology fell roughly 8% in October and communication services about 10%, as earnings from Amazon and a cash burn warning from Intel raised questions about how much AI spending will cost and when it pays off. Intel had its worst single day since 1974. The Nasdaq finished down 5.3%, its weakest month since March 2025.

The Average Stock Had a Great Month

Here is the part the headlines missed. Every sector other than technology and communication services finished higher, led by health care, financials, and consumer staples. The equal weighted S&P 500 gained about 4.9% while the cap weighted index lost 0.9%, its widest monthly advantage since 2009. When a handful of large names stumble, owning the broad market matters.

Dividend Growth at Work

October was exactly the kind of month our dividend growth strategies are built for. While the most crowded corners of the market pulled back, quality companies with long records of raising dividends held up and in many cases moved higher. We remain confident in the approach.

Market data as of October 30, 2026. Sourced from S&P Dow Jones Indices and public market data. Indexes are unmanaged and cannot be invested in directly. Past performance is not indicative of future results. Individual account performance will vary.

Year End Planning

Is It Time to Rebalance?

With markets still sitting near all time highs, this is a reasonable moment to ask whether your portfolio still looks the way you intended. After a strong run, equity positions often grow to represent a larger share of a portfolio than originally planned, which means more risk than you may have signed up for.

For many of our clients, this is the point where it makes sense to shift some of those gains into the fixed side of the portfolio, reloading the buckets that fund future income. Selling strength to refill your income reserves is a lot more comfortable than doing it after a decline.

Many of You Are Already Set

If we have already completed a rebalance for you this year, no action is needed. You are in good shape and we will continue monitoring as always.

If You Would Like Us to Take a Look

Not sure whether yours has been done, or want to revisit your allocation before year end? Just reach out and we will review it with you.

Call (248) 594-8112

As always, our door is open. If you have questions about your allocation, the market rotation we saw in October, or anything else on your mind, please reach out. We are here to help you navigate whatever comes next.

Bill Kumm, AIF®

President & Founder  |  Financial Independence, LLC

& The Financial Independence Team

Financial Independence, LLC

40900 Woodward Ave, Suite 300  |  Bloomfield Hills, MI 48304
(248) 594-8112
financialind.com  •  financialbootcamp.com

Important Disclosures

This newsletter is for informational and educational purposes only. It does not constitute investment advice, a solicitation, or an offer to buy or sell any security. The information contained herein has been obtained from sources believed to be reliable but is not guaranteed as to accuracy or completeness. All expressions of opinion are subject to change without notice.

Market Commentary: Market data, index levels, and economic commentary reflect conditions as of October 30, 2026, and are subject to change. This information is provided for general informational purposes only and should not be relied upon as the basis for any investment decision.

Index Disclosure: References to the S&P 500, Dow Jones Industrial Average, and Nasdaq Composite are for informational purposes only. Indexes are unmanaged, do not incur fees or expenses, and cannot be purchased directly. Index performance does not reflect the performance of any specific investment account or portfolio. Year-to-date figures shown are as of October 31, 2026.

Dividend Growth Strategy: References to dividend growth strategies reflect general observations and are not a guarantee of future results. Dividends are not guaranteed and may be reduced or eliminated at any time. Past performance is not indicative of future results. Individual account performance will vary based on investment objectives, time horizon, and other factors.

Rebalancing: Any discussion of rebalancing is general in nature and is not a recommendation to buy or sell any security or to adopt any particular strategy. Whether rebalancing is appropriate depends on your individual objectives, time horizon, tax situation, and account type. Rebalancing may generate taxable events and does not assure a profit or protect against loss in a declining market. Please speak with us about your specific situation before making changes.

No Tax or Legal Advice: Level Four Financial, LLC, Level Four Advisory Services, LLC, and Financial Independence, LLC do not provide tax or legal advice. Consult a qualified tax or legal professional regarding your specific situation.

Securities offered through Level Four Financial, LLC, a registered broker-dealer and member of FINRA/SIPC. Advisory services offered through Level Four Advisory Services, LLC, an SEC-registered investment advisor. Level Four Financial, LLC, Level Four Advisory Services, LLC, and Financial Independence, LLC are separate entities. To check the background of your financial professional, visit FINRA's BrokerCheck at brokercheck.finra.org.