“Physician heal thyself”
It is hard to believe that we are already in the final quarter of 2012. The last few months of the year are often an interesting time for the markets and this year is of special importance because it’s an election year. Between the pending elections, ongoing economic news, holidays and end of the year financial planning items… it will be an exciting and busy season.
As most of you know, my first career was as a pharmacist. I tend to look at the economy, the markets, financial planning and investments from a medical perspective. So, just like people– economies, companies and portfolios can be either “sick” or “healthy.”
My feeling with regard to the financial markets is that we are witnessing a “bull market rally in an overall bear market trend.” What this means is that the financial markets may temporarily be looking better, but the US and international economies are still chronically ill. Until we fix the underlying problems of bad policies, massive debt and spending, and other issues too pervasive to cover in this short letter, things won’t get much better. If we can think of world governments as the physicians to its citizens, then it appears that they are practicing bad medicine… potentially bordering on malpractice. Now, I’m not trying to paint a doom and gloom scenario. I truly think things will get better. But, there is no quick fix and governments need to make some tough choices over the next decade and beyond.
I like to think of RockCrest Financial as the pharmacist of your financial health. The mission of our firm is to help keep your portfolio and financial plan healthy. The medicines we use are financial products. We build a portfolio of these products and adjust the type and quantities of investments, as needed. The result is that your financial plan should, over time, thrive. We can’t work miracles… but we can try our best to keep things moving forward.
It is very important to remember that although the worldwide economies may have a ways to go before getting back on track, we can help keep your financial plan and investment portfolio healthy regardless of broader economic woes. Although we cannot do something that the markets simply will not allow… we can help you get reasonable returns, reduce your portfolio risk and keep your financial plan on track throughout virtually any time period.
So, in this final stretch of 2012… be happy, cheerful and merry. The global mess doesn’t have to be a chronic illness to your financial plan. We can keep it healthy and thriving through proper planning and solid advice.
Steven A. Boorstein, CFP®
CEO, RockCrest Financial L.L.C.