At the request of clients, we are providing market and general portfolio discussions on a more regular basis. Last month, we provided the 2012 Market Outlook. If by chance you did not receive the outlook, please reply to this email and we will correct that oversight. It’s also posted on our website at: https://www.eaglewestgroup.com/EWG-Financial-Commentary.10.htm
I just came back from an investment conference in Scottsdale, AZ. The following is related from the main platform of economic and political speakers. In summary, the economy is expected to continue to improve, slowly. However, our debt problem continues to build. The improving economy, plus the significant fund raising advantages of Obama, give him the current edge on the presidential front. I am not taking a political position here, just reporting what I heard by a political insider. The Republicans incidentally have a significant advantage in taking both Houses of Congress. This stalemate in leadership could moderate impacts on tax increases, economic stimulus programs, and might delay progress in dealing with our debt issues.
Three big risks to our “muddle through” economy remain:
As far as our portfolios: We introduced the Dividend portfolio for clients who care less about short term volatility and are looking for more of a constant dividend. This portfolio should do well in a very volatile sideways market, because of the dividend. It’s composed of stocks, mutual funds and ETFs. Our APM (Advance & Protect model) is almost fully invested, current allocation is 50% stock, 10% gold (or other metals), 30% bonds, 10% emerging markets and some cash (individual portfolios vary). It’s been up significantly year-to-date. We see the upside of this market to be maybe another 8%, through some volatility, before the model will move significantly to protect.
If you have any questions, please feel free to contact our office at (877) 8341850.
Advisory services offered through EWG Elevate, Inc. dba Eagle West Group.
This represents a partial list of clients. They have not been compensated and were not selected based on duration, performance, account size.