The Markets
 

Lately we have been hearing reports of companies and areas of the economy that are beating expectations. At first glance many rejoice when they hear this news, but news that sounds good does not always equal good news.

Often these figures are beating lowered expectations, carry lowered forecasts, or may have other factors involved. For example, on May 24th, the Commerce Department released the new single-family home sales report for April. Sales increased 16.2% since March which was the biggest monthly change in 14 years. The figure also came in 14% higher than analyst expectations, yet the market did not take this as the end of the housing slump.

The reason for the market's hesitance stems from the average 11% discount builders offered to new home buyers just to unload the houses. Due in part to the discounts, the median price of a new home dropped from $257,600 in March to $229,100 in April.

Again, scenarios such as this can be found with earnings and economic reports. Often the media or investors may cling to the positive news while neglecting to disclose all of the information. Make sure that you consult your advisor before making financial decisions based on what you see on television or read in newspapers.

Research Publications 

 The Office
 

This month, I had the privilege to listen to an associate portfolio manager speak. She focuses on international investments and spoke about her company's approach to investing. They use a conservative approach to seek high returns while attempting to limit risk.

While they cannot guarantee their investments against loss, I am glad to hear a portfolio manager I use speak of trying to limit risk. Too many managers of the "go-go 90's" sought return without any concern for risk. I believe this portfolio manager's approach is the ideal way to manage money for my clients.

Listening to the portfolio manager's discussion also helped to reaffirm our investment strategies. While we maintain confidence with our approach, it is always reassuring to have portfolio managers make suggestions to advisors that we already employ. The discussion also confirmed that we continue to be at the forefront with our investment strategies.

 

 The Family
 

My baseball team has continued to excel this season. Our record now stands at 4-2 with our only two losses coming from my previous team, the A's. We are currently in second place and have the highest scoring average per game.

My flag football team is also having a successful season. We were 6-2 and placed second in our division. Our playoffs take place on June 2nd. Wish us luck!

I would like to congratulate my sister, Andrea, on graduating from Columbia University earlier this month. It seems like yesterday that I was coaching her to have her first word be Woody. Heidi and I are very proud of her wish her the best for her future.

Brenna is making the most of this early summer weather. She will be out of the office on May 29th, June 1st, 8th, 11th, and 22nd. If you attempt to reach her on one of those days, she will be sure to get back to you upon her return to the office.

 

 Our Resources
 

Remember, we help our clients with much more than investment management. If you have any questions regarding insurance, tax strategies, retirement planning, estate planning, education savings, or lending strategies, please give our office a call to schedule an appointment.

We are also happy to provide you with referrals to other resources. We work with professionals in other fields such as real estate, tax preparation, mortgage lending, law (various types), construction, and computers. Just as our clients are spread across the country, so are the professionals we utilize. If you are in need of help with anything, just let us know. If we do not know someone who can help, we will get you pointed in the right direction.