What a Difference a Day Makes?

When the calendar turned from 2022 to 2023, optimists hoped that the new year would be a far better one for investors. For a quick (and ugly) recap:

• The annual inflation rate for the 12 months ending December 2022 was 6.5%.
• The Federal Funds interest rate skyrocketed from .08% in January of 2022 to 4.33% at year end.
• The S&P 500 average fell 4%.
• The Nasdaq average fell 1%.
• It was the worst-ever year for many types of bonds.

Well, if January is any indication, the optimists may be on to something.

• The S&P 500 had its best January since 2019.
• The Nasdaq posted its best January since 2001.
• On the first day of February, Fed Chair Jerome Powell announced the smallest rate increase in the Federal Funds rate since March of 2022 (25 basis points).

Being realists, however, we continue to keep a close eye on some of the same data Chair Powell cited in his February 1 press conference: the labor market and inflation. As much as we’d like to say that the worst economic turbulence is behind us, we agree with Chair Powell: “I think it would be premature, it would be very premature to declare victory or say we’ve really got this.”

For now, we’re grateful that despite an overall food inflation of 11.8%, some of our Super Bowl favorites—chicken wings, steak (for our nachos and fajitas) and avocados for guacamole—will cost less than they did last year.

Sneakers Planted Firmly on the Ground

Laced or slip on, high-top or low profile, leather or canvas, every pair of Cariuma sneakers comes with the company’s commitment to plant two trees. Since October of 2022, founders David and Fernando have sold a lot of sneakers and planted a lot of trees—over 2 million—in the Brazilian rainforest.

Why are these sneakers so popular? Reviewers cite comfort, eco-friendly materials, style, high quality, year-round versatility, and even arch support. Celebrities from Dame Helen Mirren to 11-year-old actor Alan Kim have been spotted wearing them, so their appeal is universal. After clearing out a queue of 14,000 orders for some styles, many, but not all, Cariuma sneakers are back in stock. If you want to see whether these sneakers will sweep you off your feet, check them out here.

How We Help

One of the joys of running a “mature” business—30+ years and counting—is accompanying individuals through the stages of their lives and adapting financial strategies to fit each. Our needs change as our careers progress and families expand and again as we near and enter retirement. Good financial plans reflect these changes.

For example, life insurance is a critical component of a financial plan for individuals in their prime earning years and who have young families. It may not be as important for some families in later years, although there are exceptions for families with special needs children, for example.

We constantly align the financial plans we create and the solutions we recommend to your unique circumstances and stage of life. If you have any questions about any element of your plan, please don’t hesitate to contact us.