WrapManager's Wealth Management Blog

Editor’s Note: This post was originally published in April 2014 and updated January 2017. A financial advisor’s job, at minimum, is to create an investment strategy based on your economic situation and goals. But that’s a bit like saying the job of a dancer is to move their body to music. Some do it better than others. A good financial advisor should take the time to get to know you and your family, and spend as much time as it takes to get a firm understanding of your financial situation, goals, retirement income needs, estate planning needs, risk tolerance, etc. The result should be a comprehensive financial plan that considers multiple outcomes and gives an expectation of how much income you can expect to have in retirement. [+] Read More

There are thousands of money managers out there. If you’re trying to figure out which one (or ones) is right for you to help you reach your investment goals, you may feel overwhelmed by all the options. Where do you begin researching and what criteria do you consider? We’d like to help. Each quarter, WrapManager’s Investment Policy Committee (IPC) compiles a list of top money manager picks in order to help investors discover and evaluate money manager strategies. These encompass a wide range of asset classes and investment disciplines. [+] Read More

Stephen Auth, CFA and Chief Investment Officer, Equities, shares his expectations for 2017 including: The effect of the Trump administration and Republican Congress Fiscal stimulus vs. structural reform A new phase for the bull market "Climbing the Wall of Hope" through 2018. A selection is provided below, or you can download the complete commentary as a PDF. [+] Read More

With retirement planning, there is always the need to plan for the “unexpected”: emergency needs, potential home repairs, major medical situations, and so on. But there are also several expected—and fairly predictable—expenses that many investors may not fully take into account. This is not necessarily because of lack of planning, but more so because these expenses can be somewhat academic and less easily understood. [+] Read More

Global growth expectations appear to be picking up after an extended slide... BlackRock expects U.S.-led reflation (rising nominal growth, wages and inflation) to accelerate, and sees fiscal expansion gradually replacing monetary policy as an economic growth and market driver around the world. They discuss these topics, as well as the impact of technological change, the risk of a China credit bubble and the dynamics of investor risk appetite, in their 2017 Investing Outlook. Read the key points of BlackRock's analysis. Or, download the complete commentary (PDF). [+] Read More

There is an emerging concept in health care known as “precision medicine.” According to the National Institutes of Health, “precision medicine is an emerging approach for disease treatment and prevention that takes into account individual variability in environment, lifestyle and genes for each person.” In other words, instead of treating an illness with a blanket, ‘one-size-fits-all’ approach, every individual is viewed as unique—which means their treatments are customized. [+] Read More

We continue to believe investors will be well-served to focus on dividend growth. As bond yields begin to compete with equities, we recommend an ecumenical approach to equity income and growth in dividends. One of the major impediments to using stocks for yield has been the earnings recession over the last five quarters. The continuation of that trend would have undermined the stability of the dividend payout. The market, however, has now withstood the effects of a stronger dollar on multinational earnings and withstood the energy sector’s adjustment to oil at $50 per barrel. And the S&P 500 is finally growing earnings again, year over year. Read on for a summary of their analysis, or view the entire document here. [+] Read More

When you encounter articles focused on retirement planning, the subject matter is generally about how to invest—what strategies are good for growth vs. income, what products are useful for different investment and tax objectives, and so on. Often left out are insights about how to spend, which is an equally—if not more—important aspect of planning. An investment plan that does not adequately account for how cash flow needs and expenses change over time could put an investor at risk of running out of money too early. [+] Read More

Investors Focus on Positives, Ignoring Negatives Investor sentiment remained skewed positive last week, helping equity markets rally sharply. The S&P 500 Index surged 3.1%, as the focus remained on prospects for better economic growth, tax reform and potential fiscal stimulus in 2017. For the week, small caps and financials led the way, while health care stocks lagged. Read an excerpt of the complete commentary below, or view the entire weekly investment commentary as a PDF. [+] Read More