Financial Insights

How Will the New Tax Bill Affect Investing?

Love it or hate it, here’s a quick review of how the new tax law could affect investments, from LPL Research.  For a more detailed look at what John Lynch, LPL Chief Investment Strategist, and his team anticipate, click here.

Joltin’ Joe DiMaggio, What Do You Know…How About the Dow Reaching 50,000?

December 23, 2017 | posted in: Blog, Financial Insights | by

Stock Performance from 1926 to Now
Many of you have sat in my conference room and viewed what we in the financial industry call the “Mountain Chart” of market performance.  The chart, courtesy of Morningstar, reveals that since its inception on 12/31/1925, the S&P Composite Index has averaged annual returns of over 10% per year.  I think my Dad, born in 1925, a year before the Mountain Chart begins, would agree with me that 91 years of performance history is a long and significant period for making observations.  Dad still talks about getting ice delivered to his apartment in the Bronx, about accompanying his dad during the Depression as he visited neighbors to collect life insurance policy premiums paid in weekly cash installments, (and getting robbed along the route more than a time or two!) and about how impressed he was watching Joe DiMaggio play center field at Yankee Stadium during his rookie season in 1936. The point is, 91 years is a long time.   Read More  »

When Overbought is Bullish…

December 20, 2017 | posted in: Financial Insights, LPL Weekly Market Commentary | by

  As we start to look ahead to 2018, check out LPL Research’s look back at 2017, one of the least volatile years in history. Key takeaways include: The S&P 500 is historically overbought after a very persistent bid the past year. Fortunately, history suggests longer-term gains are quite strong after being overbought. Market sentiment is flashing some near-term concerns. Read more from LPL Financial’s John Lynch, Chief Investment Strategist, and Ryan Detrick, CMT Senior Market Strategist, here.

Austin Frye Interviewed for Bloomberg Businessweek

December 1, 2017 | posted in: Blog, Financial Insights, In The News | by

Stock Wealth Surges for the Oldest Americans While the Young Miss Out
“Many households reduced their equity investments from 2007 to 2016. Those headed by people 75 and over loaded up.” Interviewed by Jordan Yadoo and Ben Steverman, Austin shared his perspective on why baby boomers’ portfolios are “booming” while younger investors’ may not be.   “Financial advisers say there’s also a particular reason some retirees are choosing stocks now. “There’s a lack of alternatives out there,” says Austin Frye, a financial planner at FryeFinancial Center in Aventura, Fla. Yields on bonds are at near-record lows, while the most generous banks pay savers rates of barely 1 percent per year. As a result, dividend-paying stocks have become popular among seniors because they generate income.   Read More  »

LPL Research’s Outlook 2018 is Here!

November 27, 2017 | posted in: Financial Insights | by

Fundamentals always matter. “At LPL Research, we’re looking ahead to a “return of the business cycle.” Instead of relying on intervention by the Federal Reserve (Fed) to propel employment and personal consumption, we will turn to fiscal policy and improving business fundamentals to spur further growth in the economy and stock market. Regarding fiscal policy, we’ll look for increased government spending and tax cuts, which could provide added support for businesses in terms of revenue, earnings, and future growth prospects.” Read more about the Return of the Business Cycle in LPL Research’s Outlook 2018 by clicking here.

Sneak Peek at the Year Ahead via LPL Reserach

November 13, 2017 | posted in: Financial Insights, LPL Weekly Market Commentary | by

Take a look at this sneak peek of what LPL Research’s team is anticipating for the new year, in their Outlook 2018: Return of the Business Cycle, and see why fundamentals still matter by clicking here. Be on the lookout for the late November release of the LPL Research Outlook 2018: Return of the Business Cycle, which presents the opportunities, challenges, and insightful guidance to arm investors for the year ahead.