Market Memo

September 2023 – By Bob Veres

According to a recent survey, more than half of all Americans fear for their financial futures.  Another study says that 77% of Americans feel anxious about their current financial situation.  Even if both of the surveys overstate the numbers, the fact is that many of us have phobias about our finances, often rooted in past traumatic events or our upbringing, or from cultural and societal pressures that can trigger the fear of financial failure.  Our emotional backgrounds influence our behavior, often negatively, often in hidden ways.

Planning Article

September 2023 – Contributed by Vantage Financial

In what seems like a never-ending game of kick the can, the IRS has pushed back deadlines to begin newer provisions contained in the SECURE Act 2.0. Along with this pushback of rules, the IRS has provided an update on the 10-year rule and who needs to take inherited IRA RMDs, along with providing some relief for missed RMDs.

Planning Article

August 2023 – Contributed by Vantage Financial

On August 1^st, 2023, Fitch Ratings downgraded long-term US Debt Issuer Default Rating from AAA to AA+, citing concerns with political issues, a slowing economy, and several other factors for their decision. Although bipartisan efforts were made to suspend the debt ceiling to 2025, the fact that the U.S. would have defaulted had this last-minute agreement not been reached marks only one of the few factors in Fitch Ratings’ decision to issue the downgrade.  Along with the last-minute decision to raise the debt ceiling, Fitch Ratings has expressed concerns revolving around the progress made towards Social Security and Medicare given the aging population (FitchRatings).  Like most other larger financial institutions, Fitch is also projecting a mild recession towards the end of 2023, possibly early 2024.  Their projection on the economic slowdown did impact the decision to lower their rating, but the main drivers to the downgrade were tied to the U.S. debt repayments and issues that could impact how their debt is paid.