Happy New Year and welcome to 2022! We hope that you and your family had an enjoyable holiday season. We look forward to what this new year has to offer.
Our primary goal for the new year is to continue to help optimize our clients’ journey toward their financial goals. A key component to this is to identify items that they may anticipate needing our assistance with or recommendations. In order to start the new year proactively, we provide our clients a 2022 Checklist to help them identify any items they may want to address with us over the next year.
Many events of the last few years have been unexpected and unprecedented. We enter 2022 with excitement and continued ambition to exceed our client’s expectations while providing first-class service. We take pride in our ability to understand and effectively respond to clients’ needs and enjoy providing timely information and holistic service to them. We are thankful for the opportunity to work with them and want to extend the same service to you this new year. Please take the time to review the 2022 Checklist and call us if you’d like to take advantage of scheduling a complimentary financial check-up.
Looking Ahead to 2022
While there are many aspects to overall financial planning, the following are some specific areas we will continue to watch carefully as we head into the new year.
- Interest Rates
Interest rate movements continue to be critical for investors. While the federal funds rate is ending 2021 at a range of 0 – 0.25%, the Federal Reserve has announced they will eliminate their taper in early 2022 and expect to make multiple interest rate hikes through the year.
- Inflation
Inflationary concerns are important for investors. Rising inflation rates have escalated many prices for consumers in 2021. The Labor Department reported in December that although consumer prices in 2021 rose at their fastest pace in 39 years, they are expecting 2022’s rise to be lower.
- COVID-19
Economic recovery is still appearing to run parallel to the course of Covid-19 and its variants. We will continue to stay apprised of the direction of recovery efforts and how they are affecting the economy.
- Monetary Policy
2021 saw its share of tax law changes. We are carefully tracking any changes that could affect our client’s personal situation and will continue to keep them apprised of those changes if and should they happen.
- Stock Market Valuations
Valuations are used as key predictors of equity returns. Many stock prices are near historical highs and so are their valuations. While we cannot predict long- and short-term valuations, we can help our clients identify their risk tolerance and time horizons. We also try to alert clients to use practical behavior during times of market volatility.
- Our Client’s Personal Situation
First and foremost, our client’s personal situation is our highest priority. We are here to help them with any financial moves or concerns they may have throughout the year. We understand that each individual and household has different goals and needs. We will continue to keep clients informed of any changes that we think may affect their personal situation.
We enter 2022 with the continued mantra of “proceed with caution”. Having a solid foundation and strategy is critical to the outcome of your financial plans. Revisiting those plans and keeping them current is also a sound practice we feel should be conducted on a consistent basis. This is a good time to review your plans with us. We can help you determine if you are on track to meet your long-term objectives, confirm your time horizons and assess your risk tolerance. We are ready to provide you with a complimentary financial check-up. Call us at (919) 781-4167 for available dates and times and get ready to make 2022 a positive year on your journey toward your financial goals!
Securities offered through Concourse Financial Group Securities, Inc. (CFGS), Member FINRA/SIPC. Advisory services offered through Concourse Financial Group Advisors, a DBA for CFGS, a Registered Investment Advisor. Pendleton Financial is independent of CFGS. CFGS does not render tax, legal or accounting advice. Please consult with your CPA or other appropriate advisors on all matters pertaining to legal, accounting or tax obligations and requirements.
The views expressed are not necessarily the opinion of Concourse Financial Group Securities, Inc. and should not be construed, directly or indirectly, as an offer to buy or sell securities mentioned herein. All indexes are unmanaged and cannot be invested into directly. Unmanaged index returns do not reflect fees, expenses, or sales charges. Index performance is not indicative of the performance of any investment. This article is for informational purposes only. Economic forecasts set forth may not develop as predicted and there can be no guarantee that strategies promoted will be successful. This information is not intended to be a substitute for specific individualized tax, legal or investment planning advice as individual situations will vary. For specific advice about your situation, please consult with a lawyer or financial professional. Past performance is no guarantee of future results. This article provided by The Academy of Preferred Financial Advisors, Inc. ©2022