Insights

Concentrated positions are a great problem to have because it usually means extremely strong growth, but there are many factors to consider when managing this situation prudently. Handling these situations is a case study of how the integration of investment management, tax planning, estate planning, and cash flow is critical

With so many recent headlines surrounding the debt ceiling, inflation, and interest rates, chatter around a global weakening of the US dollar has ramped up along with concerns by some investors. We think, while concern around this topic is troubling, it should not be the primary focus of a family’s wealth plan. Instead of focusing on US currency relative to other countries, we think families should focus on tax efficient investment and wealth plans that help maintain purchasing power of assets relative to domestic goods and services, which provides a more real-world impact on day-to-day life.

Private information can be used to open new credit cards, apply for loans or government benefits, and file fraudulent tax returns. There are plenty of software/ services advertised today that offer some protection against this. As good as those services might be, “Deep Freeze” more commonly referred to as a “credit freeze” is a simpler and more cost-effective method for protecting personal credit and can be very impactful.

Anyone who drives down a major highway these days can attest there is no shortage of billboards from banks advertising much more attractive yields on savings accounts and CDs. Obviously, the key driver for this major interest rate shift has been the Federal Reserve’s aggressive rate tightening, which they used to battle the not-so-transitory inflation over the past 18 months. It’s pretty easy to find many banks offering one-year CDs paying between 4.5% and 5.0%+. Read more in this month’s JIC Blog.