The economic and market disruption in the spring brought bad news for many sectors, with particular impact on high-yield bonds, those issued by below-investment-grade companies who are typically at higher risk of default. So-called “junk” bonds predictably struggled as the market fell, with major high-yield bond funds plunging by 20%…
Tax policy and the election
In our July newsletter, we wrote briefly about the potential for changes in tax law, especially in light of the approaching presidential election and the rapid fiscal expansion that took place in 2020 in response to COVID-19. As we near Election Day, tax issues have become even more of a…
What about real estate?
As stock markets tumbled in February and March, real estate was similarly impacted, but the recovery in that sector has been generally weaker (and arguably even more uneven) than the recovery in the broader stock market. On the positive side, mortgage rates have plunged once again to historic lows, and…
Confronting Sudden Losses
For a month that typically inspires thoughts of rebirth, renewal, and a celebration of life, this March brought quite the opposite. As the novel coronavirus, COVID-19, gradually took over the national conversation—first as a belated recognition that the United States would not be spared, then as a rapidly cascading subordination…
U.S. and China Reach "Phase One" Trade Deal
In addition to the continued cuts to short-term interest rates, a large driving force behind the stock market’s strong Q4 performance was the expectation (and subsequent completion) of an agreement between President Trump and Chinese President Xi Jinping on a “Phase One” trade deal, which was necessary to avoid a…
The SECURE Act Becomes Law
For the second time in three years, our friends in Washington have chosen to celebrate the holiday season by passing a significant tax-related bill. Two years ago, a Republican-controlled Congress enacted a substantial tax reform package, the Tax Cuts and Jobs Act of 2017. Then, in 2019, a divided government…
The Manufacturing Renaissance Has Not Arrived
When President Trump initiated the first round of tariffs against China in 2018, the ostensible purpose was to level the playing field in a way that would support the long-suffering American manufacturing sector, which had been a clear victim of decades of globalization and increased international trade. But as the…
Open Enrollment is Coming
As the fourth quarter begins and our pumpkin-spice-fueled thoughts begin drifting toward the busy upcoming holiday season, it’s hardly surprising that many of us fail to give our workplace benefits the attention they deserve. Indeed, with another open enrollment season right around the corner, employee benefits provider Unum warns that…
Making Money and Marriage Mix
Maintaining a happy marriage is always a bit of a balancing act: two individuals come into a relationship from distinct backgrounds, each having developed his or her own attitudes toward work, family, money, and how to prioritize their goals. Perhaps not surprisingly, financial matters are among the most contentious issues…
Brexit Negotiations Extended, But Still No End In Sight
With the negative economic headlines in the U.S. largely easing during the first quarter, there is only one obvious macro concern hanging over the market, but it happens to be a big one. The Brexit negotiations continue to drag on in Europe, and while an agreement has been reached to…
