MWM Weekly Update

The Week of February 7, 2022

MWM Weekly Update

The Week of February 7, 2022

Korean War Veterans Memorial, Washington, D.C.

“Heroes are ordinary people who make themselves extraordinary”      
- Gerald Way

Greetings Everyone,

Have you traveled to Washington, D.C. and visited the architectural gems that line the National Mall? These symbols of American history tell our American stories. Among them is the Korean War Veterans Memorial pictured above. For me, this one is more than a group of statues, but a reminder of one of my first memories of war and loss.

When I was around nine years old, I remember a car driving up the road to our home with a crutch poked outside the window. It was carrying my Uncle Marvin who had survived a North Korean prison camp, starvation and punishment and a horrible wound to his leg. I remember that moment like it was yesterday. He weighed only 80 pounds.

Marvin and his brother, Ernie were with the US Army’s 3rd Battalion, 29thInfantry Regiment, which was newly formed with mostly inexperienced young men.

They were ordered to hold the pass near the South Korean village of Hadong. On July 27, 1950, they walked into an ambush resulting in heavy casualties including Marvin’s brother, Ernie.

At 91, Uncle Marvin remembers so much. On Saturday, while we were celebrating his birthday, he asked his son to show us the medal he received in appreciation of his service from the South Korean government.

The Korean War is said to be the forgotten war, but here we remember and honor our very special family hero.

Sarah Elise Berry – Celebrates a Special Birthday

When you meet Sarah, you know she’s is very special. Her financial planning skills, organization and follow through for client work is noteworthy. She grew up in Eugene, Oregon and Washington, DC. About 20 years ago she moved to Portland after graduating from the University of Oregon. She has a very active personal life raising her beautiful six-year-old, Bella.

She has been able to get back to some of the things she loves since COVID just on a modified scale. During the month of January, she was able to complete 16 Barre3 classes for the January challenge. Her love of spinning classes has now moved to Peloton which she does on days she can't make it into the studio. Bella is now in 1st grade and loving her school. Weekends are now spent at basketball games which will be baseball starting in the Spring. Sarah's favorite thing is to travel the world which has been a bit hard lately. Trips within the US this past year have included: Maui, NYC, Palm Springs, LA & Vegas. She is looking forward to finally putting that passport back to use in July for a trip to Paris with Cedric. Happy birthday, Sarah.

Financial Planning - Sharing Family Values

Some families avoid talking about money, but others find that family meetings can create some fun and provide meaningful conversations. The Institute for Preparing Heirs book Family Meetings, by Vic Preisser shares that over time sometimes through casual conversations, families come to understand their priorities. This can evolve to a Family Mission Statement around the purpose of family assets which can be more than financial. Here’s a checklist that can be used to establish family shared values for now and in the future:

  • Formal education
  • Skill development
  • Personal income supplements
  • Funding personal business
  • Medical and health needs
  • Housing and living assistance
  • Networking opportunities
  • Building family unity
  • Travel or recreational experiences
  • Charitable giving
  • Investment management for future learning
  • Developing philanthropic expertise
  • Growing assets
  • Informal education learning opportunities
  • Retaining family business
  • Environmental preservation or conservation
  • Special needs

Each one of these bullet points can be drilled down even further depending on your families’ priorities. Not everyone has the same interests, so even just talking about some of these things can help develop insights into how family members can manage their financial futures. Family meetings can be formal or informal. I’ve known clients who take a family vacation and make the family meeting discussions part of the agenda. You might start with the list above and keep the money conversation for a later time.

Raymond James Tax Documents

1099’s forms are being mailed to our clients and many are receiving two 1099 forms for their Raymond James retirement accounts. Both 1099 forms are valid are because Raymond James changed bank custodians during the year. Both banks are reporting the information while under their custody, therefore you will add the two together for the complete tax information showing all distributions and withholding. Next year, there should only be ONE for each account.

Form 5498 is the contribution summary for people who are contributing to their retirement accounts. This statement is most likely coming to you in two documents if you contributed throughout the year. Be sure to let us know if you have any questions.
Thank you for your patience as we work through tax season for you. We appreciate your patience and understanding.

Judith McGee, L.H.D., CFP®, ChFC®
Executive Vice President and Senior Lead Advisor

In the Markets

  • Last week was notable for a stronger-than-expected jobs report and mixed fourth-quarter earnings data. Stock values rose and fell throughout the week, ultimately closing higher. Crude oil prices rose for the seventh consecutive week, as prices near an eight-year high. A cold snap in the United States and concerns about the Ukrainian situation contributed to the raise in the prices of natural gas and oil. Each of the major benchmark indexes ended the week higher, led by the Nasdaq, which had one of its worst days last Thursday, only to be followed by one of its best performances. The large caps of the S&P 500 and the Dow pushed higher. The Global Dow gained over 2.0%, and the small caps of the Russell 2000 advanced 1.7%. The dollar fell, while gold prices climbed higher.
  • Stocks pushed higher last Monday for the second consecutive session as dip buyers snatched bargains in beaten-down growth stocks. The Nasdaq led the charge, climbing 3.4%, followed by the Russell 2000 (3.1%), the S&P 500 (1.9%), the Dow (1.2%), and the Global Dow (1.0%). Gains were noted across each of the market sectors, with information technology and communication services leading the way. Ten-year Treasury yields were flat, while the dollar dipped. Crude oil prices climbed 1.5% to $88.15 per barrel.
  • Last Tuesday, Wall Street enjoyed its best three-day rally since 2020. Strong fourth-quarter earnings data from some major corporations helped bolster investor confidence. Each of the benchmark indexes advanced, with the Global Dow (1.4%) and the Russell 2000 (1.1%) gaining the most, followed by the Dow and the Nasdaq, each of which added 0.8%. The S&P 500 rose 0.7%. Energy, financials, industrials, communication services, and materials led the market sectors. Ten-year Treasury yields climbed to 1.8%, crude oil prices edged higher, while the dollar dipped.
  • Stocks closed generally higher for the fourth consecutive session last Wednesday, with only the small caps of the Russell 2000 lagging. The S&P 500 (0.9%), the Dow (0.6%), the Global Dow (0.6%), and the Nasdaq (0.5%) each pushed higher. culminating in the biggest four-day rally since November 2020. Crude oil prices slipped to $87.93 per barrel, the dollar fell nearly 0.5%, and 10-year Treasuries declined to 1.77%. Leading the market sectors were communication services, real estate, utilities, health care, and consumer staples.
  • Last Thursday saw the biggest tech sell off since the fall of 2020, ending a four-day rally. The Nasdaq fell 3.7% as a major technology company saw its shares fall more than 26% following its underwhelming fourth-quarter earnings results. Adding to investor worries was the latest jobless claims report, which showed 238,000 new claims for unemployment insurance were filed last week. The S&P 500 declined 2.4%, the Russell 2000 lost 1.9%, the Dow edged 1.45% lower, and the Global Dow dipped 0.8%. Ten-year Treasury yields climbed six basis points to 1.82%. Crude oil prices rose above $90.00 per barrel, while the dollar slid lower.
  • A strong jobs report and favorable earnings data from a major tech company helped power stocks higher last Friday. Ten-year Treasury prices fell, driving yields up to 1.93% as it looks more likely that the Federal Reserve will raise interest rates by 50 basis points in March. Among the major market indexes, only the Dow failed to gain ground, dipping less than 0.1 percentage point. The Nasdaq gained 1.6%, the Russell 2000 rose 0.6%, the S&P 500 edged up by 0.5%, while the Global Dow ended flat. Consumer discretionary (3.7%), financials (1.7%), and energy (1.6%) led the market sectors. Crude oil prices continued to climb, reaching $92.20 per barrel late Friday. The dollar was mixed on the day.


The next round of data on inflation begins this week with the release of the Consumer Price Index for January. Consumer prices rose 0.5% in December and 7.0% in 2021. Little change is expected in price pressure, at least through March, when the Federal Reserve is expected to raise interest rates for the first time since 2018 in what could be several such advances throughout this year.

Source: Broadridge Investor Communication Solutions, Inc.

Articles & Education

Capital Markets Update and Outlook: January 2023

Although the one-two punch of rising interest rates and inflationary pressure set the global capital markets on shaky footing through much of 2022, the U.S. economy kept motoring ahead. How are financial conditions shaping up in the new year?

Maximize Tax Benefits with a Qualified Charitable Distribution

The qualified charitable distribution has become popular with some IRA holders as a way of donating to charities while saving money on taxes.
Investment Term of the Week

Thought of the Week

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