After recording two double-digit drops in equity prices over the last three trading days, the global pandemic of COVID-19 has sent world equity markets into bear market territory. The result is a cumulative 30% drop in the S&P 500 Index in just under 30 days. Though daunting, once the market finds a bottom (which is where the index begins to consistently move higher than the previous market low)—and we believe it is “when” not “if” the market finds a bottom—it will begin to move higher and may provide an the attractive opportunity for long-term investors to consider adding risk to portfolios.
Don't Delay. Start Your Financial Plan Now.
When it comes to saving and investing, time is an invaluable asset.
Many millennials find planning their financial futures a daunting task. It need not be so. We offer some suggestions to get you on your way.
Weekly Market Performance
3/9/20 Wild Week (Data as of 3/6/20)
Weekly Market Commentary
3/2/20 Corona Virus Fears Intensify
Stocks just suffered their worst week since the global financial crisis on coronavirus outbreak fears. Last week’s 11.5% drop in the S&P 500 Index brought the index into correction territory. We provide context for the sell‐off and discuss potential U.S. and global economic impacts of the outbreak, although this situation remains fluid, very uncertain, and even a bit scary.
Weekly Market Commentary
Corporate America impressed us this earnings season. Though S&P 500 Index companies have generated only 1–2% earnings growth compared with the year-ago quarter, we consider this an excellent result given the challenges companies faced in late 2019. The challenges have not let up in 2020, however, with significant disruptions for U.S. companies operating in China due to the coronavirus outbreak.
Weekly Market Commentary
2/10/20 Global Gets Going
Stocks in developed markets outside the United States have underperformed those in the United States almost without interruption for the last decade. While the long-lasting U.S. stock market dominance has us understandably cautious, we are warming up to international equities. We highlight four main reasons why international equities’ performance could be poised to improve.
Weekly Market Commentary
2/3/20 Assessing Coronavirus Outbreak
After a three-and-a-half-month, largely uninterrupted rally in stocks, the period of calm ended last week as the coronavirus outbreak led to a bout of volatility. Though it is difficult to predict when the virus will be contained and how many more lives might be lost, we provide some historical perspective on other major global health events to help assess potential market impacts.
Weekly Market Commentary
Earnings growth was largely absent in 2019, but we expect it to pick up in 2020. With stock valuations elevated, we think earnings hold the key to pushing stocks higher this year. We preview fourth quarter earnings season and share our thoughts on the outlook for corporate profits in 2020.
That's My Budget and I'm Sticking to It!
There is no better way to control your spending than to keep a family budget. The time you invest in creating and tracking your budget can keep you ahead of financial difficulties throughout the year.
Reality Check on Your Retirement Savings
Reality Check on Your Retirement Savings
Whether you’re 23, 35, or even 55, it’s important to know whether you are saving enough for your retirement. There is no time like the present to ensure you are allocating enough funds to your retirement account.
Let’s talk about it. Let’s make sure you are prepared. inquiry@kingwealth.com 408.879.079
Weekly Market Commentary
Assessing Geopolitical Risk
The United States’ airstrike January 3, 2020, near Baghdad, Iraq, that killed a top Iranian military general was a major escalation in Mideast tensions. Iran’s retaliatory strike January 8 sent a message, but additional responses can’t be ruled out. We discuss what this conflict might mean for stocks and assess ongoing risks.
Making Smart Investments for Your Family
Making Smart Investments for Your Family
Raising a family is rewarding - and expensive. Consider taking these steps to support your family financially through a program of smart investing. King Wealth Planning is here to help you start you plan and guide you along the path.
King Wealth Planning can help you make smart investments for you family
Set it, Forget it, Regret it?
Set it forget, regret it?
Auto-pilot is regularly used to fly airplanes. But is it a good idea for your retirement investments?
Weekly Market Commentary
1/6/20 Lessons from the Past Decade
As we begin 2020, we’ve had a chance to reflect on what was an unprecedented decade for financial markets. The 2010s taught long-term investors two important lessons: to ignore short-term market noise and to be prepared for volatility. It was a curious time, but many investors who followed the basic principles of long-term investing and diversification ultimately triumphed.
Weekly Market Commentary
12/16/19 Better Days Ahead for Bonds
2019 was a baffling year for bonds. The 10-year U.S. Treasury yield fell to a three-year low, and the yield curve flashed ominous signals about the economic outlook. We’ve seen some improvement in long-term yields since the September low, but we don’t expect much more upside in 2020. However, bonds can still play an important role in helping to diversify portfolios where appropriate.
Market Update
12/11/19 Market Update
A busy few days. Stocks are unchanged this morning as investors prepare for a busy few days of news. The Federal Reserve (Fed) is slated to tie a bow on its year of policy pivots with its policy announcement later today, which will be followed by Fed Chair Jerome Powell’s post-meeting press conference.
How to Organize Your Financial Life
How to Organize Your Financial Life
Are you planning to get organized in 2020? Managing your personal finances can sometimes seem like an overwhelming task. But you can start the process with a few easy steps that will help you take control of your finances and work toward a brighter financial future.
Long Term Care Choices
A look at other LTC coverage options.
Traditional long-term care insurance has grown costlier—and some of those who buy it may never need the coverage. Are potentially cheaper, flexible options available? Yes.
Weekly Market Commentary
11/25/19 Have We Hit the Earnings Bottom?
While earnings declined year over year in the third quarter, results still exceeded expectations. Tariffs, ongoing policy uncertainty, and slower global growth have led to this earnings lull, but we remain optimistic that earnings growth bottomed last quarter and is poised to accelerate.
Weekly Market Commentary
11/18/19 Recession Watch
Why would we write a report about recession with the S&P 500 at record highs? Consider it a check-up. Just because you feel good doesn’t mean you skip your annual physical at the doctor. We check in on some of our favorite leading indicators to see if any cracks are forming in the economic expansion and its accompanying bull market.