First Half 2017
Looking forward to the New Year, it will be quite interesting to see how the earnings flow for corporations and their profit guidance for future quarters. There has been quite a shift in thinking in a short period of time regarding interest rates, inflation, the price of oil, international markets and GDP growth in general. Trading near all-time highs, the US stock market has priced in an increase in overall growth and profits, which will need to be proven correct in the coming months to move higher from here, in our opinion. We believe the economy will eventually see better growth but it may come in the latter half of the year. What policies come out of Washington will most likely have quite a large influence as well.
In general, we think the international markets outperform over the next five years. This is certainly a minority opinion but we believe the relative value of many international markets at this time will lead to better returns. We are recommending increasing exposure there in most portfolios. In addition, we think we’ll see a return of higher volatility as the year progresses.
We continue to expand our knowledge base and contacts through numerous educational seminars the last half of the year in Chicago and Orlando. We welcome the opportunity to share our views on Long Term Care, guaranteed annuity products and the role of Trusts in financial planning. Our thanks to all of our new clients of the past year and especially those who have worked with us over the past 25 years!
We continue with our optimistic long term view and look forward to working with all of our relationships to position each one to meet their own specific goals and wishes.
Best regards,
Ken
Views expressed are not necessarily those of Raymond James & Associates and are subject to change without notice. Information provided is general in nature, and is not a complete statement of all information necessary for making an investment decision, and is not a recommendation or a solicitation to buy or sell any security. Past performance is not indicative of future results. There is no assurance these trends will continue or that forecasts mentioned will occur. Every investor’s situation is unique and you should consider your investment goals, risk tolerance and time horizon before making any investment.
Dividends are not guaranteed and will fluctuate.
International investing involves additional risks such as currency fluctuations, differing financial accounting standards, and possible political and economic instability. These risks are greater in emerging markets. Investing always s involves risk and you may incur a profit or loss. No investment strategy can guarantee success.
Gross Domestic Product (GDP) is the annual market value of all goods and services produced domestically by the US.
