Forty "W"ritings

Congratulations to the Kansas City Chiefs for winning Super Bowl LVIII. They were the first team to win back to back Super Bowls since the New England Patriots accomplished it about 20 years ago (2003-2004). The Super Bowl is always a bittersweet celebration as we binge on fried food and salty snacks but wake the next day to the realization that football season is over…for now. Therefore, to cheer up football fans we wanted to offer some interesting tidbits about what the Super Bowl has meant for the financial markets. However, we will reassure you that this is for fun and we do not make portfolio decisions around who wins the Super Bowl.

Net Unrealized Appreciation (NUA) is a valuable tax strategy that can offer the benefit of lower taxes and portfolo diversification for investors holding appreciated employer stock within their retirement plans. By understanding how NUA works and considering its potential impact on your overall financial plan, you can make informed decisions to optimize your tax efficiency and achieve your long-term financial goals.

KEY TAKEAWAYS: Inflationary pressures remain sticky. Consumer spending drives economic growth. Developed equity markets lead performance. Treasury yields inch higher amid Fed rate cut uncertainty. Crude oil rallies on geopolitical tensions.

On January 10th, 2024, the SEC approved the first U.S. listed ETFs that track the price of Bitcoin . This recent approval marks a milestone for cryptocurrencies, Bitcoin specifically, offering investors direct exposure to the underlying asset in the form of spot-price ETFs. This week, we wanted to provide investors with insights into the new products and what they mean for the cryptocurrency space.

Red Sea Hostilities put the Federal Reserve on the Defensive. KEY TAKEAWAYS: Increasing geopolitical tensions. Houthi terrorists joining the Middle East conflict. Shipping costs are surging. Supply chain pressures could increase. Red Sea tensions put the Federal Reserve on the defensive.

Key Takeaways: -Major banks kick off 4Q23 earnings season later this week. -S&P 500 expected to report earnings growth for second consecutive quarter. -Communication services to be largest contributor. -Discretionary completed supported by Amazon earnings. -Looking for downgrades to 2024 earnings.