Q1 2022 Client Letter

The quarter in brief:

Did I mention in January that there might be a little volatility this year? The chart above shows that since January 1, 2022 there have been 35 down days and 27 up days in the DJIA chart which resulted in an overall decline of 4.07%.

Inflation is the other big concern. Right now inflation reminds those of us that were around in the early 80’s of the high inflation times during Jimmy Carter’s presidency. In the reports I follow, the expectation is that inflation should be around 5.45% by year-end and back to a more normal 3% range in the next five years. But, it sure doesn’t feel like that today. 

As always if the daily market volatility concerns you and you would like to meet in person or by zoom please let us know and we will get together immediately. We want to make sure your portfolio is well positioned to take advantage of and/or protect from any long term negative impact that this volatility may have.

Do you have friends, family or colleagues who you think might benefit from having a conversation with us about this volatility? Please consider sending them our way. We would greatly value your referral.

(1) Sources: Wall Street Journal, January 3, 2022. https://www.wsj.com/market-data
(2) https://etfdb.com/etf/USIG/#performance
(3) https://www.etrade.wallst.com/v1/stocks/charts/print.asp

The market indexes discussed are unmanaged and generally considered representative of their respective markets. Individuals cannot directly invest in unmanaged indexes. Past performance does not guarantee future results. U.S. Treasury Notes are guaranteed by the federal government as to the timely payment of principal and interest. However, if you sell a Treasury Note prior to maturity, it may be worth more or less than the original price paid