LIFESTYLE DRIVEN ADVICE
APRIL 2024

Dear Valued Client ,

 

April showers bring May flowers – you know the phrase. And as it rained in the mid-Atlantic area almost on cue, the markets also seemed to feel the damper. Yet, should we fear the recent downpour or look for the seeds of future growth?

 

In addition to concerning geopolitical activity, hot inflation data here in the United States rained on the parade of the Federal Reserve rate cut projections, influencing stock prices lower. From peak to trough, the S &P 500 fell approximately 5.9% as of April 19. Also, both Treasury bonds and money market indexes’ total returns outperformed the Nasdaq Composite Index as of April 19. ¹  Markets worked quickly to absorb the economic data and Chair Powell’s response and outlook to it.

 

Although it’s easy to attribute market movements to policy actions in retrospect, it’s important to remember that this sort of stock volatility is actually quite normal. Since the market bottom in March of 2009, we’ve experienced 28 different market pullbacks of at least 5%.  Not only is it typical to experience these market pullbacks, it’s also important to remember that the average intra-year market drawdown is even higher at approximately 13%. ²   So while the showers in April dampened the strong stock market performance we cited in last month’s newsletter, it does appear well within normal stock market activity.

 

As they say, the only things more certain than stock market volatility are death and taxes. In this month’s newsletter, we want to address both of those topics in more interesting ways. First is a  video from XML President, Curtis Congdon, discussing your risk of receiving a tax audit. Secondly, on the sensitive topic of death, XML Senior Wealth Advisor, Shawna Bieda, will be hosting a webinar on Strategic Legacy Planning with Neuberger Berman Managing Director, Cheri Brooks. Please sign up to watch this important conversation on May 14 .

 

We also wanted to share some exciting news regarding our new Virginia office. XML just signed a lease for a location at WillowWood Plaza II, 10306 Eaton Place Suite 230, Fairfax, VA 22030. Construction on this new location will begin shortly and we are optimistic that we can begin welcoming clients into this beautiful state-of-the-art space in September. Stay tuned for more information in the coming months. 

 

In financial news, the housing market has seen a lot of attention lately and here are two quick reference articles: National Association of Realtors Settles Lawsuit; Will Pay Homeowners and Rising Prices Make Home Ownership 80% More Expensive Than It Was in 2020.

 

Lastly, bringing us full circle to our April showers bring May showers adage, we wanted to bring you a good news story about a special Community Cares Event that XML’s very own Senior Wealth Advisor, Lauren O’Brien, and Wealth Advisor, John Sciuto, are organizing on May 14. Click the link above to learn more about how you can get involved and attend. 

 

Best,

Curtis

 

Curtis Congdon, CRPC^® , CFP^®
President  

XML Financial Group
www.XMLFG.com  
(O) 703-462-2573

 

^{1. - https://fred.stlouisfed.org/series/SP500 https://fred.stlouisfed.org/series/NASDAQCOM} 2 . https://bilello.blog/2024/the-week-in-charts-4-23-24  

Wealth Insights: Your Likelihood of Being Audited

 

In the most recent episode of Wealth Insights with XML President, Curtis Congdon, CFP®, CRPC® , puts forth the question during this tax season of what the chances are of being audited. Is it really true that your chances go way up with the more you make?

Blogs

Rising Prices Make Homeownership 80% More Expensive Than It Was In 2020

 

A new Zillow report reveals that the average person would need more than 80% in annual income since before the COVID-19 pandemic in order to buy a home. Home prices have increased dramatically while wages have lagged behind, and the result is a housing market that’s closed to many people who would have been able to buy a home in the past.

 

National Association Of Realtors Settles Lawsuit, Will Pay Homeowners

 

 

The National Association of Realtors and co-defendants, including Re/Max and other real estate companies, have agreed to settle multiple lawsuits across the United States. The settlement includes $1.8 billion in damages and a commitment to end a policy that prevented homeowners from negotiating commissions with buyer’s agents and consequently made home selling more expensive.

Upcoming Webinar: Leave More Than Memories

 

On Tuesday, May 14, 2024 at 12PM ET , we are hosting a webinar on estate planning to discuss the financial uncertainty that follows the death or disability of a loved one. In this discussion Cheri Brooks, Managing Director and Head of Neuberger Berman Advisor Institute, and  Shawna Bieda, Senior Wealth Advisor at XML Financial Group will explore different strategies to make you and your family feel prepared for all of life’s moments, planned and unplanned.

XML Team News

Register to Volunteer: Volunteer at Community Cares

Ready to make an impact in Alexandria? Join XML Financial Group at our Alexandria office on May 14th for a heart-warming event filled with compassion, community, and care.

 

Event: Community Cares Event

Date: May 14th

Time: 11 AM - 1 PM

Location: XML Financial Group, Alexandria Office

 

We're rolling up our sleeves to prepare and pack 100 nutrient-rich lunches for food-impoverished teens at Alexandria City High School—and we need your help! 

In the News

The Securities and Exchange Commission has approved 11 spot bitcoin ETFs, opening new doors for investors. However, opportunities also create new risks. In a recent Financial Planning story, XML Financial Group CEO &Co-founder, Brett Bernstein, CFP® , offered insights on navigating this dynamic investment landscape for investors considering this newer investment strategy.

 

Reflecting on his own experience of leaving Merrill Lynch in 2004, Brett Bernstein, CFP® , also shared his tips with ThinkAdvisor for advisors considering independence. With increased options available to them today, he emphasized the importance of being educated on marketplace options.

 

XML Partner and Director of XML-W Michelle Cooper, JD, MBA , shared insights on empowering women to achieve both short and long-term investment goals in a recent City Lifestyle article.

This communication is for information and educational purposes only. This is not a recommendation for the sale or investment in any product or strategy nor should it be perceived as individual advice. Information presented has been prepared from sources believed to be reliable but is not guaranteed and does not represent all available data necessary for making investment decisions. Economic and market forecasts presented herein reflect a series of assumptions and judgments as of the date of this presentation and are subject to change without notice. Forecasts do not consider the specific investment objectives, restrictions, tax and financial situation or other needs of an individual. Actual data will vary and may not be reflected here. Accordingly, these forecasts should be viewed as merely representative of a broad range of possible outcomes. The opinion expressed by this individual is based on facts and circumstances known at this time, is subject to change and does not reflect the opinions of all financial professionals of XML.

 

This e-mail (including attachments) is intended only for the recipient(s) and may contain information that is privileged, confidential, or otherwise protected from disclosure. If you receive this e-mail in error, promptly advise by return e-mail. Emails are archived and subject to review by authorized persons. This communication should not be regarded an official confirmation of a transaction. Securities offered through XML Securities, LLC, member FINRA/SIPC, headquartered at  6901 Rockledge Drive, Suite 730 | Bethesda, MD 20817