Hello and Welcome to our April 2022 … Financial Planning and Capital Market Update!
If you are too busy to read, feel free to listen as we describe our post and thoughts in friendly podcast audio format as well as Video!
Newbies –
We like to articulate our thoughts and review on a Monthly basis our Financial Planning Tips, Capital Markets thoughts and current events!
Hope you enjoy!
April 2022 Video
YouTube
Financial Planning Tip(s)
Back to Basics Series – Educational Funding
In our continued fun “Back To Basics” Series here we discuss Educational Funding…
Here is one very important item to remember from the post:
Did you notice we put Retirement Planning BEFORE Education planning? Do you recall in Part 3 in Debt Planning we said one of the few good debts are educational related debts ….We of course are not advocating Student debt/loans… but they are available in abundance and again not a bad debt. There are not retirement planning loans…. just saying!
Proxy Vote Reminder
In this post we remind you to please reach out if you have fallen off the list for us to proxy vote for you!
If you are getting those pesky Proxy Notices (some can be small books- oh the trees that are destroyed- digressing) reach out to us, we not only vote the Proxies for you, but we get one single notice for everyone, and Jen has done an excellent job in getting a great deal of those electronically…. Did we say how Green this is?
Capital Market Comments
The Slowdown is Here
We first started speaking of the slowdown in our Q 1 2022 Newsletter here in our “Anatomy of a Slowdown” main aricle actually released in December of 2021….
And then again, here in our Q 2 2022 Newsletter ….
Then again here, here, here, here, and again here.… among a few other times…
Last week the BEA “Officially Released” a negative GDP print as noted here in our post and in this chart….
Never get the timing exactly, but we are not surprised and have been waiving the flag here in our talks and are prepared!
Have a Great Day, Talk to You at the End of May!
John A. Kvale CFA, CFP
Founder of J.K. Financial, Inc.
A Dallas Texas based fee only
Financial Planning Total Wealth
Management firm.
Hill Street Blues Reminder … Let’s be Careful Out there … Slowdown Refresher – Lengthy and Contra Bounces …
As a kid, with a firm 9 PM bedtime, one of the last shows I could grab before hitting the sack each night was a cop show … maybe showing my age, remember was a kid … Hill Street Blues, each show started out with the chief giving a summary of the day and passed events ….. and his words every show as he released his men to the streets were …
“Let’s be careful out there!”
Reviewing Anatomy of a Slowdown again
Being creatures of habit … recency bias seeps into so much of our thinking … 2020 was just barely a double digit day retreat and Capital Markets of 2018 just barely a double digit month retreat.
Many may have forgotten what a normal slowdown looks like.
Not trying to beat us over the head or a dead horse, however that goes …. More normal economic slowdown‘s as mentioned here and here just to name a few mentions (ok dead horse again) take somewhere between nine month and eighteen months a.k.a. 2007 – 2009 financial and 2000 dot com bust followed by a slow down, rather than just the most recent quarters we’ve experienced.
Contra Movements
Big bounces are part of a slowdown… much bigger bounces than normal growth appreciations during Growth/Bull times …
Yep… 19.37% and 22.93% bounces….
A slow down, the R word – (Recession), or a growth absence, patience is a virtue …
In true let’s be careful out there fashion, we haven’t forgotten the umbrella and maybe it will not rain, but we definitely have the umbrella just in case….
Bottom line, stay away from extreme headlines of “It’s all clear” and the other “It’s all doom and gloom”, we will get through this, but let’s be careful out there and have our patience hats on too!
Have a Great “Anatomy of a Slowdown Refresher” Day!
Be Careful out there too!
John A. Kvale CFA, CFP
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Posted in Economy, FOMC, General Financial Planning, Interest Rates, Investing/Financial Planning, Market Comments
Tagged Anatomy of a Slowdown, Bounces, Contra bounces, Hill Street Blues, Recession, Slowdown