Wealth and Wisdom: Week of December 5, 2022

In a speech last week, Federal Reserve Chairman Jerome Powell essentially said that while the Fed still has both feet firmly on the economy’s brake pedal – it might start lightening the pressure soon. After four straight hikes of 0.75% in interest rates, the central bank might only raise rates 0.50% (50 basis points) at its mid-December meeting. That would be welcome news for investors.

The rate-hike campaign has caused the steepest inversion of the Treasury yield curve since 1981 – often a reliable indicator of impending economic slowdown. In exchange, the Fed seems to be getting the upper hand on inflation (see first item below). Home prices, for example, have fallen for three straight months – the first time that’s happened in almost four years.

Better inflation news ahead?

Many indicators are starting to show that inflation may be cooling off – which might bode well for investors. (Reading time: 5 minutes)

How to beat inflation by spending less

Here’s some timely advice from financial experts on getting more from every dollar you spend. (Reading time: 7 minutes)

Money for emergencies

With a growing number of Americans living paycheck-to-paycheck, Congress may soon make it easier to build your emergency reserve. (Reading time: 4 minutes)

What’s behind the crypto crash

The fascinating collapse of FTX teaches us many lessons – most of which we should already know. (Reading time: 6 minutes)

New webinar: The Dividend Method

We gave this one-hour presentation to our clients recently on how we build and manage portfolios using stocks with rising dividends. (Running time: 1:02:36)

Should we raise Social Security’s full retirement age?

Some people feel the key to saving Social Security is to make us all wait longer to receive benefits. (Reading time: 4 minutes)

Retirement Riddles

As much as you might want your retirement to be simple and uncomplicated, it isn’t. Here’s good advice from someone still trying to figure it out. (Reading time: 4 minutes)

Withdrawing from retirement accounts in a down market

What should you do when you’re pulling from one end while the market is nibbling away from the other? Here are 6 good ideas. (Reading time: 4 minutes)

Roth IRA: To convert or not to convert?

Here’s our advice on when it makes sense to convert money from a traditional IRA to a Roth – and when it doesn’t. (Reading time: 4 minutes)

Getting a jump on your 2022 taxes

Here’s what the IRS wants you to know before we head into tax season next year. (Reading time: 7 minutes)

Words to the Wise

“The stock market has forecast nine of the last five recessions.”
Paul A. Samuelson

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The foregoing information has been obtained from sources considered to be reliable, but we do not guarantee that it is accurate or complete, it is not a statement of all available data necessary for making an investment decision, and it does not constitute a recommendation. Any opinions are those of Brown Family Wealth Advisors and not necessarily those of Raymond James. Investing involves risk and you may incur a profit or loss regardless of strategy selected. Expressions of opinion are as of this date and are subject to change without notice. Past performance does not guarantee future results. Prior to making an investment decision, please consult with your financial advisor about your individual situation.