A&I Financial Services Periscope

A & I Financial Services LLC Newsletter

For the Week of
February 17, 2011
 

Greetings!         


We're off to a great start for the US equity markets in 2011. While we are still feeling good, let's look to the future and consider setting some goals. Have you spoken to your advisor recently about your goals?
  
Consider a "rediscovery meeting" where you can get to know each other better. At that meeting, we can help you set and achieve your goals!

Setting goals can alleviate a lot of stress, and can also seem daunting. Here are a few tips and tricks:

1. Be specific.

 

2. Put it in writing.

 

3. Set realistic goals.

 

4. Develop an action plan.

 

5. Believe in yourself.

 

6. Be flexible.

 

7. Ask for help.

 

8. Reward yourself.

 

As you think about the future, focus on a date five years from now. What needs to happen to have made you feel successful in that period of time? Write it down and work your way backwards to today's little goals. Sometimes, a small action has an enormous effect. 
Economic Briefs
 
AN END IN SIGHT FOR FANNIE & FREDDIE
Friday, the Obama administration presented a plan to wind down Fannie Mae and Freddie Mac by 2018, with Treasury Secretary Timothy Geithner citing "very broad consensus" that the government should play "a much smaller role" in the housing market. So what will replace them? The plan puts three options before Congress. In one option, the government would leave the mortgage market save for the VHA, FHA and other existing agencies. Two other options would set up "re-insurance" programs. A limited version would guarantee private mortgages only in economic or real estate downturns; another would provide a backstop for mortgage investments already guaranteed by private insurers. All three options would pave the way for higher mortgage costs. The Treasury and HUD have also suggested phasing in a short-term requirement for borrowers as Fannie and Freddie are unwound: homebuyers would have to put 10% down for any mortgage backed by the GSEs.(1,2)

CONSUMERS FEEL MORE UPBEAT
The latest Reuters/University of Michigan consumer sentiment survey is in, and the initial February reading is 75.1, an improvement from the final January mark of 74.2. This is the best reading since June 2009. The survey's current conditions index rose 5.0% to 86.8 - the highest it has been in 37 months.(3)

GOLD ADVANCES, OIL PULLS BACK
Gold prices climbed 0.86% last week to settle at $1,359.90 an ounce Friday - it was the best week for the precious metal YTD. Oil and natural gas prices fell to their lowest levels since November on Friday after Egyptian president Hosni Mubarak announced his resignation; natural gas futures fell 9.28% on the week, and oil slipped 3.88% for the week to settle at $85.58 per barrel on the NYMEX.(4)

DJIA CLOSES AT HIGHEST MARK SINCE 6/16/08
The Dow logged an eight-day winning streak from January 31 to February 9, and it has advanced in 10 of the past 11 weeks. The weekly performance? DJIA, +1.50% to 12,273.26; NASDAQ, +1.45% to 2,809.44; S&P 500, +1.39% to 1,329.15.(5)
 
6.04Market Summary

% Change

Y-T-D

1Yr Chg

5-Year Avg

DJIA

+6.01

+20.99

+2.48

NASDAQ

+5.90

+29.03

+4.48

S&P 500

+5.69

+23.24

+0.98

(Source: cnbc.com, bigcharts.com, ustreas.com, bls.gov, 2/11/11)
Create a beautiful week!

Karl Frank, MBA, MSF
Certified Financial Planner (R)
A & I Financial Services LLC
303.690.5070
 

Citations:
  
(1) - blogs.abcnews.com/george/2011/02/the-end-of-fannie-mae-and-freddie-mac.html [2/11/11]
(2) - cnbc.com/id/41529671 [2/11/11]
(3) - marketwatch.com/story/us-consumer-sentiment-rises-in-february-2011-02-11 [2/11/11]
(4) - blogs.wsj.com/marketbeat/2011/02/11/data-points-energy-metals-459/ [2/11/11]
(5) - cnbc.com/id/41537483 [2/11/11]
  
This material has been prepared and is distributed solely for information purposes only. It is not a solicitation or an offer buy any securities or instrument or to participate in any trading strategy. There is no assurance that a particular trading strategy will achieve investment success.
  
Securities offered through Geneos Wealth Management, Inc., member FINRA/SIPC.  Investment advisory services offered through A & I Financial Services LLC, registered investment advisor.
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Words for Thought
"The spirit, the will to win, and the will to excel are the things that endure. These qualities are so much more important than the events that occur."

Vince Lombardi
Read about Renewable Energy Investments

Karl Frank was interviewed in The Denver Magazine.  The article talks about investing in our renewable energy future.

 

Click Here to Read Article 

Read about us in the Denver Post

Karl Frank & Cameron Morgan were featured in the Denver Post.  They talked about how to have a happy holiday while sticking to a budget. 

 

Click here to read the article.  

View our Money Makeovers 
Karl Frank, Certified Financial Planner, provided several Money Makeovers for families on CBS Channel 4. 
 
Learn more!
 
 
 Beating the Recession
View The Financial Planning Association Video

Karl Frank and many other Financial Planners  offered pro-bono advice to thousands at the first annual "FPA Financial Planning week." 

 

Click on logo below to view video.

FPA Week
Riddle of the Week

I never ask you questions, yet you answer me all the time. What am I? 


Last week's riddle:
You sit down to play chess. Out of the 16 pieces you have at your disposal, how many of them could be used to make your first move? 
 
Last week's answer:
Ten (eight pawns and two knights).