Vision Problems

Poor vision leads to poor results -- simple as that.  After many years, I finally had LASIK surgery to correct my eyesight.  My bad vision was impacting my ability to see what was coming down the road when driving, who was across the room and when coaching, what exactly happened on that last play.  Often, I came home frowning with horrible eye strain from work. This led my family to think I was grumpy or upset. My poor vision was impacting many areas of my life.

Now for the cliché...

I’m seeing 20/20 in 2020 - Had to say that one!

My new vision has given me a better perspective and much better results.  When driving, I can see what is coming far down the road.  Faces across the room are clearer.  And at a sports event, I can see why the referee made that bad call (of course).  The importance of good eye vision is similar to having good life vision.

Questions to ask ourselves

What is your vision like - is it clear, distracted or blurry?  What perspective are you seeing life through?   Where do you want to be financially, physically and spiritually in 1 year, 5 years or remembered for upon your passing?
What is on your heart to accomplish?  What is your faith leading you to pursue?

Discussing these questions and exploring the possibilities are the greatest conversations I get to have with clients.  Have you discussed these lately?

Be CONFIDENT on your foundation

Over the summer, my family had a chance to embark on a treehouse building project with three generations of my family. Somewhere between my son watching Treehouse Masters (thank you Pete Nelson)… expecting to have indoor plumbing and a ceiling fan and my concept of one sheet of plywood with a single 2x4 rail to keep my kids from falling off, we came up with…

 I Was Reminded

There are a few things very important in building something of value.  First, you need to have somebody with deep experience and knowledge, the grandpa or "pop-pop" in this situation.  And secondly, the foundation is key to the success of everything you build. As you can see this foundation is solid, we hope the treehouse will last for decades.

Foundational Questions for your family

When you consider building your family's future finances, here are the questions you need to ask yourself about that foundation:

• What are our goals? …do these goals reflect what we really value long term?
• Do we have a detailed financial plan guiding us?
• What is our budget telling us about cash flow?   Is our budget accurate?
• Is my insurance coverage adequate- umbrella policy for additional home and auto protection, life insurance to provide and the most overlooked insurance to protect your earnings – long term disability insurance?
• Do we have beneficiaries, a named guardian for minors, an executor of your estate and the proper legal documents drawn up to administer?
• Do we have a disciplined investment process that guides our investments?
• Does our family have a trusted and experienced team with the knowledge to guide you?

The team at Foley and Foley Wealth Strategies is always happy to assist you in answering these questions and providing solutions to benefit your family.

This is so you CAN BE CONFIDENT on your financial foundation.

Luke Fields, CFP®

Any opinions are those of Luke Fields and not necessarily those of Raymond James.  Certified Financial Planner Board of Standards Inc. owns the certification marks CFP®, Certified Financial Planner™ and CFP® in the U.S., which it awards to individuals who successfully complete CFP Board’s initial and ongoing certification requirements.

The Things You Will Never Regret

When you google “things you regret”, there are over 92 million results.  That is a lot of discussion on regret.  And that is just sad.  I love speaking with folks in their 80s.  If you ask the right questions, they will share wisdom, often without even knowing it.  Their wisdom many times comes from things they wish they had done more of.

Focus on the things you will never regret.

Giving generously.  This opens your heart to think of others and share your time, wisdom, skills and resources.  It is truly better to give than receive.  In terms of money, you can’t take it with you so why not see your favorite charity, church or family be blessed?  And I shouldn’t forget to mention; numerous studies show a direct link between good health and generosity.

Pursuing your passion.  Do what excites you and makes you jump out of bed in the morning.  Often your passion will become something you are good at and likely you will be able to make it a profession.  And if you can’t turn it into a job, you can at least purposefully spend time enjoying your passion.

Spending time with those you love.  Making memories and experiences will always be with you.  This is at the top of the list for most of the elderly.  Later in life, you will not wish you worked more.  I guarantee this from the many people I have talked to.  Slowing down, spending time with your family or taking that special vacation, are happy times etched into your mind and theirs forever.

Investing in Today.  This can take on many forms. You will never regret investing in yourself and those you love.  Developing a curiosity and love of learning will open doors for you and keep you sharp.  A personal example; investing in our kids is important to my wife and me.  It is why we have chosen certain activities and Christian schooling for our children.  Our goal is that this investment today will begin to shape them into future leaders.

Saving for the future.  In order to be able to enjoy these things and do them more often, you have to save. 

“Money will not help you find your purpose but it sure will fund it.”

It is so important to have a plan for today and the future, to accomplish the possibilities for your family. 

Start now, dream big and have a thoughtful plan.

Have no regrets,

Luke Fields, CFP®

Our Favorites of the Year 2016

When I was in my early 20s, I remember being told by someone older… “you know, the older you get, the faster time goes by”.  I admit thinking they were a little crazy, however I now fully agree with them since many years have passed.  This year has been like “light-speed”.

Optimism is typically amplified as we celebrate Christmas and the holidays and we look to turn the calendar into a New Year.  This year is no different; 2017 seems to be about change.  

The year 2016 was a year of swings and surprises no less.  2016 had a poor investment start and outlook with the markets down nearly 11% by mid-Feb, only to swing up sharply to be even by mid-March (S&P 500), a month later.  This dramatic move in the market not surprisingly coincided with oil’s rebound from its February low.  Afterwards the markets positive momentum continued.  Then there was June’s “Brexit” vote in the U.K. which was a surprise to the pundits and pollsters alike.

And of course the U.S. Presidential election was the biggest surprise of the year; the pollsters, the “wall street insiders” and even Vegas all got it wrong. 

The expected change with a new administration concerns some and excites others.  The market has shown its excitement based on Trump’s focus on two main campaign components;

1) a large infrastructure spending program estimated at $1 Trillion, which all agree is expensive but much needed for our country’s ailing bridges, roads and logistics (both Clinton and Trump proposed)

2) the likelihood of tax reform consisting of possible IRS simplification, personal tax bracket reductions and the most heralded- corporate tax cuts from 35% to 15%.

We won’t try to predict the market or events to come in 2017, since no one really knows but we can say it will be another year of change (as every year is). 

It is essential to realize though, that change requires an intentional, planned out approach to your family’s goals, financial plan and resulting investment strategy.  Foley and Foley Wealth Strategies delivers just this with an adaptive and clear approach through the uncertainty any year can bring.  Reach out and let us assist your family.

In case you missed a blog post this year, here is a list of our favorite posts for our firm in 2016.

Financial Planning is Not 

Values=Goals.  Do yours align?

Are you a Control Freak?  Focus on what matters. 

Volatility in the Market, what is that?  It is not a bad word.

The Problem with Legacy.  Why it starts today and not when you die. 

Imprinting (on others)  

Staying Safe Online (9 ways) 

And Finally... We are still celebrating 35 years of serving our clients!!   

To a well-planned 2017!

Luke Fields, CFP®

The S&P 500 is an unmanaged index of 500 widely held stocks that is generally considered representative of the U.S. stock market.  Inclusion of these indexes is for illustrative purposes only.  Keep in mind that individuals cannot invest directly in any index, and index performance does not include transaction costs or other fees, which will affect actual investment performance.  Individual investor’s results will vary.  Past performance does not guarantee future results.  Any opinions are those of Luke Fields and not necessarily those of RJFS or Raymond James. Expressions of opinion are as of this date and are subject to change without notice.

The Vote Against...Elections and your Portfolio

Elections have a way of revealing the true state of American politics.  I think many have known it was in a sad, poor state but we didn’t have a concrete point in time to say, yep this is really bad.  Until now.   Currently, we find ourselves asking, “are these the best candidates we can offer?”

It is the first election when more than 50% of voters are voting “against the other candidate” rather than for the one they will actually “pull the lever” (Pew Research).

How Elections Impact the Stock Market

In looking at history here is what we know.

Volatility in the stock market always increases heading into and exiting a presidential election.  We know that the stock market hates uncertainty, and uncertainty is exactly what you get in a polarizing election that has very different candidate policies.  Volatility is normal in the stock market but is heightened when emotions, worry and policy concerns influence trading.  While it is normal to be concerned, it is not wise to make drastic changes to your financial plan.

12 months after an Election the markets are usually not impacted.  There is an old saying that “the market always climbs a wall of worry”.  Although there are no guarantees longer term, it is impressive looking at this chart of the many various worries and concerns that the market has climbed.

The market likes political “grid-lock”, and it is likely to be so after this election.
“Grid-lock” between the Executive and Legislative offices- Congress/House provides some certainty on likely policies and helps prevent dramatic policy swings.  Large policy shifts or swings would occur without grid-lock, actually causing more uncertainty in that current political cycle and then also in the following election cycle as the Pendulum historically looks to sweep to the opposite side of the spectrum.

Business and citizen spending has the greatest impact on the economy. 
In the United States, 82.4% of GDP comes from sources other than the government.  The president doesn’t have to be popular or have a high approval rating for a healthy stock market.  Historically, the market has performed well when approval is in the 35-50% range.

Making a move to Cash is “Timing the Market”.  Study after study has shown that trying to time the market is a futile exercise and missing just a few of the best days in the market can dramatically impact your long term returns.  Refer to the chart above where the market climbs a wall of worry and this one below.

A long term financial plan is your best bet.
Whether it is worry over an election causing increased market swings or clear goals you want to accomplish financially… either way it is best to stick to your financial plan.  Focus on the things you can control inside of your plan such as your goals you have set for yourself, your personal spending, how much you regularly save and the risk you are comfortable with in your portfolio.

To the Freedom to Vote For…or Against,

Luke Fields, CFP®

Any opinions are those of Luke Fields and not necessarily those of RJFS or Raymond James. Expressions of opinion are as of this date and are subject to change without notice. The information has been obtained from sources considered to be reliable, but we do not guarantee that the foregoing material is accurate or complete. Any information is not a complete summary or statement of all available data necessary for making an investment decision and does not constitute a recommendation. Past performance may not be indicative of future results. Every investor’s situation is unique and you should consider your investment goals, risk tolerance and time horizon before making any investment. Investing involves risk and you may incur a profit or loss regardless of strategy selected. There is no guarantee that any statements, opinions or forecasts provided herein will prove to be correct.

The Problem with Legacy

I am annoyed.  Often I hear people discuss their legacy as the money and assets they will someday pass on.  Yes, that is a legacy as defined.  But is that all a legacy is?

Okay, bear with me…I have to pull out the dictionary on this one.  Merriam-Webster states that a Legacy “is a gift by will especially of money or other personal property”.   So at “first blush” people are using it correctly but isn’t there much more than money to a legacy?  In my opinion, heck yes!  Absolutely.

I had a recent estate planning discussion with a couple.   As we chatted and began to draw up some ideas, repeatedly their comments went back to how much life changing money would be left to their children.  Along with some other gifts to church, mission work and charities, the plan was typical and completely reasonable.  What struck me was that the focus was entirely on the money as their legacy.  This is not the couples fault but the error of the larger “finance community” and our culture for this interpretation.  I am annoyed that we often think legacy only begins at death when the money is passed on.

There is much more to Legacy than money

If we go back to the dictionary, the other definition of legacy is;

While money can certainly help our children and others, I think we often miss the big picture, which entails a much more important discussion.  This other kind of legacy is a healthy, soul searching discussion based on what you value and how you really want to be remembered.  Personally, I would like to be remembered for much more than the father, uncle or friend that left money behind.  Again I will admit, money is helpful and a blessing…but it is temporary, can be lost and sometimes not really helpful to others in the end.  However, the memories, wisdom and time with my wife, kids, friends and clients are the deep and lasting legacy I hope will encourage for years beyond my life.  I want to be a good steward of my legacy now.  Do you?  

And that is the interesting part.

Most legacies are overly focused on “after I am gone”….  While that is true, it is only half of the discussion.  The legacy I desire starts now; to impact and imprint itself on others today, tomorrow and then continue as a legacy after me.  I challenge myself first in this and my clients as well to think and plan this way.

So let’s change the focus of the conversation to say that legacy is both the money to pass on responsibly AND the lasting impact you have on your loved ones that happens today, tomorrow and for generations to come.

To the Stewardship of Your Legacy,

Luke Fields, CFP®

9 Ways to Protect Yourself Online

“Dear Sir,
I write to you today about a large sum of money.  I am a prince who needs help moving my money out of my country.  If you provide me your bank account……...”

9 Ways to Protect Yourself

1.  Never, ever use the same password twice.    Create unique, strong passwords for every site you use.  Passwords should consist of UPPERCASE, lowercase, your favorite #, $, %, ! and various numbers.  If you need to, use a password manager app to keep and safely store all of your passwords.  And change them regularly.

 2.  Don’t ever click a link or download anything from an unknown source.    Once you click, you could have just opened the “front door” to your device.
 

3.  Search and check your email “Sent” file of messages.    If your account has been hacked, you will see so here.  Search your sent box using “#” or “account” to help find any fraudulent messages.  As well you can delete any information you don’t want easily accessible for a hacker.  If hacked (spoofed) read this.  

4.  Never provide personal information to someone who contacts you first via phone, text or email.   This contact may seem innocent but don’t trust unless you have confirmed it is legitimate.  Call them back on a number you know is the actual organization’s number.  Two common examples; “Microsoft” calling to help fix a “virus” they have found on your computer and know that the IRS doesn’t call people, they usually bill you first.

 5.  Use your credit card not  your debit card.   I know the many good reasons to use a debit card, such as you only spend what you have in your bank account.  However, if your debit card is compromised, bank account meet thief; thief meet bank account…all your money will be gone.  Credit cards provide fraud monitoring for irregular card activity and will cover theft expenses.

6.  Check your credit card transactions closely and review you credit reports regularly.    How else will you quickly catch a new account opened under your name?   Use AnnualCreditReport.com to request your credit report.  Also you may want to consider investment in identity theft protection.

 7.  Limit your social media sharing.   Perusing a person’s social sites can reveal a lot, such as a pet’s name, an anniversary, birthdate or say your mother’s maiden name, etc.  If on vacation, maybe post that great beach picture after you return.  Posting while on family vacation provides an open invite for cat burglary activities at your home.

8.  Stop using public WiFi.  Or at least limit it to non-personal information searches.  Enough said.

 9.  Use a password on your phone.  And make sure your phone locks after a few minutes of inactivity.  If phone is lost or stolen, this will keep your information safe.  Plus if you have little ones, passwords help.

Foley and Foley Wealth Strategies seeks to educate and assist our clients in all areas related to their wealth and finances.  If you have a good tip on this topic, please share with us at luke.fields@raymondjames.com.  

Be safe and secure,

Luke Fields, CFP®

The "Santa Claus Rally"

What is the “Santa Claus Rally”?

Santa is readying himself to visit many children and adults alike worldwide.  It is an exciting time for all.  My youngest child and last to write a letter to Santa eagerly awaits.  I am sad to think that this may be our last year for the magic of “Santa Claus” in our household.  It has been fun.  Our full attention however can rightly be focused on the true joy of Christ’s birth for us all.

Santa Claus is Coming to...Wall Street?!

Wall Street also has a soft spot for Santa Claus.  You may have heard of what is called the “Santa Claus Rally”.  It refers to a seasonally higher stock market around this time of year, typically the week after Christmas as we head into the New Year.  Historically, December is the one of the best months for the S&P 500.  Since 1928 the S&P 500 has risen in December about 75% of the time.  Why you ask?  Good question; no one knows the definitive reason.  The most likely reason in my belief is that year-end bonuses for most Wall Street traders and investors are dependent on their performance being positive come December 31st.  So as you can imagine, they are incentivized in large dollar ways to encourage $anta to be good to them.  This results in more cash being invested in stocks and bonds to increase values.  Other potential reasons for the Santa Rally are the upbeat joy of the season, the optimistic outlook that most people hold turning the calendar over into a new year (which is called the “January Effect”) or simply the pessimists (aka “bears”) are on vacation.

“News and Noise” doesn’t Dictate Allocation

The name “Santa Claus Rally” is a great “sound bite” for the media and an amusing discussion topic.  So, will Santa visit Wall Street and the stock market?  No one knows, it is not a sure-thing.  The key is to see it for what it is, as more “noise” that simply distracts from a solid, diversified portfolio with a longer term perspective.  Don’t get caught up in the noise and enjoy Christmas and the holidays with your family.
I can guarantee that Santa will be visiting our house this year; my kids take very good care of Santa and his reindeer!  Here is a picture from 2014.  He loves M&M cookies.

From all of us here at Foley and Foley Wealth Strategies, have a Merry Christmas and a Blessed New Year!

Luke Fields, CFP®

READ more Stewardship Cents here...

Any information herein is not a complete summary or statement of all available data necessary for making an investment decision and does not constitute a recommendation.  Any opinions are those of Luke Fields and not necessarily those of RJFS or Raymond James.  Diversification and asset allocation do not ensure a profit or protect against a loss. The S&P 500 is an unmanaged index of 500 widely held stocks that is generally considered representative of the U.S. stock market. Past performance does not guarantee future results.