Cortburg Speaks Retirement

Election 2020: Managing Your Emotions

November 04, 2020 Miguel Gonzalez, MBA, AIF®, CPFA®, CRC® Season 2020 Episode 8
Cortburg Speaks Retirement
Election 2020: Managing Your Emotions
Chapters
0:00
Introduction
1:04
Weekly Educational Update
2:31
Week on Wall Street
6:56
Weekly Tax Tip
8:37
Healthy Lifestyle Advice
10:01
Green Living Idea
11:43
Quote of the Week
12:15
Conclusion
Cortburg Speaks Retirement
Election 2020: Managing Your Emotions
Nov 04, 2020 Season 2020 Episode 8
Miguel Gonzalez, MBA, AIF®, CPFA®, CRC®

Cortburg Speaks Retirement

Cortburg Speaks Retirement / Investment in Stock Market, Financial Planning, Retirement Planning, Money Management

1.Educational Update = Election 2020: Managing Your Emotions
 
2. Week on Wall Street


3.Tax Tip =  Tax Credits for Parents who Adopt

4.Healthy Lifestyle Advice = Are you Storing your Food Correctly?

5.Green Living Idea = Breathe Easy and Feel Better with House Plants

6. Quote of the Week

Show Notes Transcript Chapter Markers

Cortburg Speaks Retirement

Cortburg Speaks Retirement / Investment in Stock Market, Financial Planning, Retirement Planning, Money Management

1.Educational Update = Election 2020: Managing Your Emotions
 
2. Week on Wall Street


3.Tax Tip =  Tax Credits for Parents who Adopt

4.Healthy Lifestyle Advice = Are you Storing your Food Correctly?

5.Green Living Idea = Breathe Easy and Feel Better with House Plants

6. Quote of the Week

INTRODUCTION

Welcome to Cortburg Speaks Retirement

An audio podcast about investing in the stock market, financial planning, money management and retirement planning.  Each Wednesday, we help investors at all stages of life learn how to grow and preserve their money from first job through retirement.

Now here is your host, Miguel Gonzalez.

 

HOST

Hello and welcome to the CORTBURG SPEAKS RETIREMENT audio podcast.   On this episode, I am going to help you manage your emotions with the upcoming election, review last week on wall street and provide a tax tip for parents looking to adopt a child.  I will also share important information from the FDA website regarding the best way to store food and the important to keeping house plants.  As always, I will finish with a motivational quote of the week.  

 


 1st – weekly educational update

Election 2020: Managing Your Emotions

 

It’s a startling statistic. 

45% of consumers with $100,000 or more investable assets expect to make changes to their investments due to the upcoming 2020 presidential election.[i]

Second-guessing your investment strategy is natural, especially with an election on the horizon. Emotions are running high as many are divided about what may happen to the financial markets with the election just weeks away.

It’s a good time to remind everyone that investing involves risks, and investment decisions should be based on your own goals, time horizon, and tolerance for risk. If you’re concerned that the upcoming election may change one of these key factors, perhaps it’s time to review your portfolio.

Or, if you are concerned about one or more of the policies being discussed by the presidential candidates, please give us a call. We’d welcome the chance to hear your perspective, and hopefully, we can provide some guidance.

Making a change to your portfolio should be driven by sound analysis, not an emotional response to a current event. If the election does introduce some new economic ideas, we would review the proposals and prepare for what may come next.

 

2nd – Week on Wall Street

 

Stock prices dropped last week as hopes for a fiscal stimulus bill faded and investors focused on rising COVID-19 infections, here and abroad.

The Dow Jones Industrial Average slid 6.47%, while the Standard & Poor’s 500 tumbled 5.64%. The Nasdaq Composite index lost 5.51% for the week. The MSCI EAFE index, which tracks developed overseas stock markets, slumped 5.02%.[ii],[iii],[iv]

A Difficult Week for Stocks

Stocks opened the week lower as lawmakers failed to pass a fiscal stimulus bill and a pick up in the number of new COVID-19 cases in the U.S. and Europe. Hardest hit were companies most exposed to pandemic-related economic impacts, including energy, travel and leisure, and industrials.

Losses accelerated mid-week on reports of rising coronavirus-related hospitalizations, along with news that Germany and France were reinstating partial shutdown restrictions.[v]

Stocks attempted to recover on Thursday, but took another leg lower on Friday as earnings reports from the mega-cap technology companies failed to impress investors.

Positive Economic News

There were several strong economic reports during the week, but investors paid little attention. Among the highlights were durable goods orders, which rose for the fifth consecutive month, a sharp drop in initial jobless claims that were the lowest since March 14th, and a 33.1% annualized jump in economic growth during the third quarter.[vi],[vii],[viii]

Investors also ignored a strong start to earnings season, which has seen 85% of reporting companies in the S&P 500 index beating earnings estimates by an average margin of 19%.[ix]

THIS WEEK: KEY ECONOMIC DATA

Monday: ISM (Institute for Supply Management) Manufacturing Index. 

Wednesday: ADP (Automated Data Processing) Employment Report. ISM (Institute for Supply Management) Services Index.

Thursday: Jobless Claims. FOMC (Federal Open Market Committee) Meeting Announcement.

Friday: Employment Situation.

 

Source: Econoday, October 30, 2020

The Econoday economic calendar lists upcoming U.S. economic data releases (including key economic indicators), Federal Reserve policy meetings, and speaking engagements of Federal Reserve officials. The content is developed from sources believed to be providing accurate information. The forecasts or forward-looking statements are based on assumptions and may not materialize. The forecasts also are subject to revision.

 

THIS WEEK: COMPANIES REPORTING EARNINGS

Monday: Paypal Holdings (PYPL), The Clorox Company (CLX), Mondelez International (MDLZ), Eversource Energy (ES) 

Tuesday: Humana, Inc. (HUM), Prudential Financial (PRU), Emerson Electric (EMR)

Wednesday: Qualcomm (QCOM) 

Thursday: Alibaba Group (BABA), Square, Inc. (SQ), Bristol Myers Squibb (BMY), General Motors (GM), Duke Energy (DUK), Cigna Corp. (CI), T-Mobile:US (TMUS), Booking Holdings (BKNG), MetLife (MET) 

Friday: CVS Health Corp. (CVS), Marriott International (MAR)

 

Source: Zacks, October 30, 2020

Companies mentioned are for informational purposes only. It should not be considered a solicitation for the purchase or sale of the securities. Investing involves risks, and investment decisions should be based on your own goals, time horizon, and tolerance for risk. The return and principal value of investments will fluctuate as market conditions change. When sold, investments may be worth more or less than their original cost. Companies may reschedule when they report earnings without notice.

 

3rd – weekly tax tip
Parents Who Adopt May Be Able to Benefit From a Tax Credit

 

The adoption credit is designed for families who adopted or started the adoption process. These taxpayers may be able to claim up to $14,080 of credit for each eligible child. To determine eligibility, taxpayers should fill out Form 8839, Qualified Adoption Expenses. This can help you determine how much credit you may be eligible for. 

This credit may cover qualified expenses, including reasonable and necessary adoption fees, court costs and legal fees, adoption-related travel expenses, and other expenses directly related to the adoption. There are also income limits that could affect the amount of the credit. 

The SECURE Act added an allowance for a $5,000 IRA withdrawal (without the usual 10% penalty) that can be used toward expenses related to childbirth or an adoption. This withdrawal counts as taxable income, though, and must be taken within a year of the child’s birth or arrival.

* This information is not intended to be a substitute for specific individualized tax advice. We suggest that you discuss your specific tax issues with a qualified tax professional.

Tip adapted from IRS.gov and CNBC.com[x],[xi]

  

4th – healthy lifestyle advice
Are You Storing Your Food Correctly?

Storing your food correctly can help minimize food waste, keep you safe, and keep your food tasting as delicious as possible. Here are some tips:

●       Your refrigerator should be at or below 40 degrees F and your freezer should be 0 degrees F. Check the temperatures regularly to make sure they are within safe ranges. Appliance thermometers are the easiest way to do this. 

●       Never allow meat, poultry, seafood, eggs, or other foods that require refrigeration to sit out for over two hours. This also applies to leftovers in to-go containers. 

●       Don’t overcrowd your fridge or freezer because air won’t be able to circulate. 

●       Freezer burn doesn’t mean food is unsafe, it just means that air got in and caused dry spots on frozen food. 

●       Store eggs in their carton in the fridge itself, not in the door. The door of a fridge is often a little warmer. 

Tip adapted from FDA[xii]

 

5th – Green Living Idea
Breathe Easy and Feel Better – with House Plants

Houseplants accent your home, decorating with beautiful pops of color and texture, but they can also make us feel better. One reason plants are a healthy addition to your home is that they clean the air. Greenery around the house removes over 85% of pollutants from the air within a 24-hour period. 

Plants around the home also reduce stress and boost your mood. Need a few tips to get started? Here are a few, easy-care varieties:

●       Monstera deliciosa (Swiss cheese plant): It grows quickly and has big, beautiful leaves.

●       Epipremnum aureum (golden pothos or devil’s ivy): Great starter plants; they thrive in a hanging planter. Be careful if you have pets: they are toxic to cats and dogs.

●       Hedera (ivy): If you love ivy, this plant is for you. 

●       Chlorophytum comosum (spider plant): These low-maintenance plants require watering from the bottom. They sprout babies regularly, so you can share them with friends and family.

●       If you want really low-maintenance plants, you can try succulents and cacti. They are easy to replant, and it’s fun to combine different varieties to make one-pot gardenscapes. They can also go longer without watering. 

Tip adapted from Women’s Health[xiii]

 

6th – quote of the week

“Getting people to like you is merely the other side of liking them.”

– Norman Vincent Peale

 

Make sure to visit our website, www.CortburgRetirement.com.  Our site is filled with educational videos, eBooks, publications, and financial calculators designed to help you learn more about your finances.  As you search our site, send us a note regarding any questions you may have about any particular investment concepts or products. We will get back to you quickly with a thoughtful answer.

This is Miguel Gonzalez, Retirement Specialist and Managing Partner, with Cortburg Retirement Advisors signing off for this week’s educational update.  

 

DISCLOSURES  

Opinions expressed are subject to change without notice and are not intended as investment advice or a solicitation for the purchase or sale of any security. Please consult your financial professional before making any investment decision. 

All performance referenced is historical and is no guarantee of future results. All indices are unmanaged and may not be invested into directly.

This information is not intended to be a substitute for specific individualized tax advice. We suggest that you discuss your specific tax issues with a qualified tax advisor.

CRC conferred by The International Foundation for Retirement Education.

Securities offered through LPL Financial. Member FINRA/SIPC. Investment advice offered through Private Advisor Group, LLC, a registered investment advisor.  

Private Advisor Group, LLC and Cortburg Retirement Advisors, Inc. are separate entities from LPL Financial.

Investing involves risk including possible loss of principal.


[i] HartfordFunds, 2020
[ii] The Wall Street Journal, October 30, 2020
[iii] The Wall Street Journal, October 30, 2020
[iv] The Wall Street Journal, October 30, 2020
[v] CNBC, October 27, 2020
[vi] The Wall Street Journal, October 27, 2020
[vii] CNBC, October 29, 2020
[viii] The Wall Street Journal, October 29, 2020
[ix] CNBC, October 29, 2020
[x] IRS.gov, March 10, 2020
[xi] CNBC.com, October 22, 2020
[xii] FDA.gov, October 22, 2020
[xiii] Womenshealthmag.com, October 22, 2020 

Introduction
Weekly Educational Update
Week on Wall Street
Weekly Tax Tip
Healthy Lifestyle Advice
Green Living Idea
Quote of the Week
Conclusion