Keeping You Informed 

The Social Security Administration recently announced a 3.6% COLA for 2027, one of the highest in recent decades. While this is a healthy increase on paper, the reality is that this adjustment is one part of an overall strategy for maintaining purchasing power as prices rise. For long-term investors, it is important to understand what is driving inflation, what it means for cash yields, and how it affects portfolios.

Even the healthiest seed will struggle if it is planted in the wrong type of soil. Investments can work the same way since some assets benefit from being placed in specific vehicles, particularly when it comes to how they are taxed. This idea is often referred to as “asset location,” which doesn’t refer to where assets are held geographically. Instead, it is the practice of placing each investment in the account type where it can grow most efficiently. This might include a taxable brokerage account, a tax-deferred account like a traditional IRA or 401(k), or a tax-free account like a Roth IRA.

Perspective matters as we begin the fifth year of the bull cycle

The Week In Perspective combines market activity, financial events, commentary and analysis for individual investors.

The Week In Perspective combines market activity, financial events, commentary and analysis for individual investors.

One factor that directly impacts the housing market is interest rates. When rates rise, mortgage costs for new applicants rise as well, affecting everything from loan qualification to the volume of home sales. The average 30-year fixed mortgage rate is now back above 7% after falling toward 6% at the start of the year. While mortgage rates have been volatile in recent years, they have not been sustainably at these levels in nearly 25 years. What could these housing market pressures mean for households and the broader economy?

Historically, grandparents have had to navigate specific rules when gifting to grandchildren to prevent unintended financial consequences, including tax and financial aid considerations. However, recent changes to federal financial aid now exclude grandparent-owned 529 accounts from the student assets section of the aid calculation. This removes a drawback of these accounts that was a problem historically. This change makes them worth another look as part of a family’s broader financial plan for education funding.

The Week In Perspective combines market activity, financial events, commentary and analysis for individual investors.

Janet Yellen, the former Federal Reserve Chair, often said that "monetary policy is not a panacea."1 Just as there is no cure for the common cold, except to let it run its course and address the symptoms, the Fed’s tools often cannot fix the underlying issues in the economy. In theory, monetary policy is meant to help ease these challenges, especially when it comes to the job market and inflation. In practice, however, the Fed does not control the economy directly, but instead responds to the economic environment.

The Week In Perspective combines market activity, financial events, commentary and analysis for individual investors.

Areas of the market including small caps, value stocks, and international companies have outperformed over the past year, and their valuations have generally been more attractive. Understanding how sizes and styles have performed can help investors maintain balance. What is happening beneath the surface of the broad market indices, and what does it mean for investors?

The Week In Perspective combines market activity, financial events, commentary and analysis for individual investors.

What does supply and demand tell us about the broader economy, long run trends, and how they interact with a well-constructed portfolio? Commodities can serve as indicators of global conditions, and their volatility is a natural part of how they function. How can investors maintain perspective when commodity markets are moving sharply?

AI and Federal Reserve policy may seem unrelated on the surface, but they are connected. In the short run, this connection is through their effects on financial markets and interest rates, and in the long run through productivity and economic growth. In fact, Fed Chair Kevin Warsh recently addressed these topics at the Fed's annual symposium in Jackson Hole, Wyoming.2 Given how much AI has already impacted markets in recent years, and the continued uncertainty surrounding the Fed's policy direction, what should investors consider from a long-term perspective?

The Week In Perspective combines market activity, financial events, commentary and analysis for individual investors.

The government publishes several inflation rates, each measuring something different. Learn why the CPI-W used for Social Security differs from the CPI-U, CPI-E, and PCE—and why the inflation rate that matters most is the one you're actually living with.

Since new tariffs were announced last year, global trade has been a source of uncertainty for financial markets and the economy. In February, the Supreme Court ruled that the original “Liberation Day” tariffs were illegal, resulting in a wave of refunds to businesses that are now well underway. New tariffs have been implemented since then under different laws, including recently with close trading partners such as Canada. What Do Tariff Refunds and the National Debt Mean to Investors?

The Week In Perspective combines market activity, financial events, commentary and analysis for individual investors.

What’s Driving Stocks, Bonds, and All-Time Highs? Rising stock prices and higher yields create an environment that requires careful portfolio balance. On the surface, it can seem contradictory for stocks to reach records while interest rates stay high, since rising rates can often slow the economy. However, if both stocks and bonds are being supported by positive trends, long-term portfolios can in turn support financial goals. How should investors think about this environment as markets sit near record levels?

Should you separate your portfolio from political view? With the November midterm election approaching, campaigns are starting to intensify across the country. Politics have only grown more divisive in recent decades, so it’s natural for investors to wonder whether the election should influence their financial decisions.