ABOUT HOSTS

Brian Perry
ABOUT Brian

Brian has been actively involved in the financial markets for more than 20 years, and has worked as a portfolio manager, strategist, and trader. At Pure Financial Advisors, Brian uses his extensive investment background and focus on behavioral finance to help clients navigate turbulent markets and stay on course towards their financial goals. Prior to [...]

Joe Anderson
ABOUT Joseph

As President of Pure Financial Advisors, Joe Anderson has led the company to achieve over $2 billion in assets under management and has grown their client base to over 2,160 in just ten years of the firm opening. When Joe began working with Pure Financial in 2008, they had almost no clients, negative revenue and no [...]

Joe Anderson, CFP®, President of Pure Financial Advisors, and Pure’s Executive Vice President and Director of Research, Brian Perry, CFP®, CFA, discuss COVID-19 and the economy, the state of the financial markets, and a look ahead at what November 2020 elections might bring. Following the presentation Joe and Brian answer attendee questions.

Click to download Brian Perry’s full slide presentation.

00:00 – Intro

04:00 – COVID-19 and the Economy

04:13 – Retail Sales Implode

04:42 – OpenTable Year Over Year Change By State

05:34 – US Employment to Population Ratio

06:35 – Change in Confirmed Cases and Fatalities in the US

07:41 – Money Supply Has Increased, Money Velocity Has Decreased

09:06 – The State of the Markets

09:11 – US 2-Year Treasury

10:00 – Treasury Yield Curve Has Steepened Since January

10:50 – S&P 500 1-Year Performance

12:29 – S&P 500 Leaders

13:42 – Top Holdings of US Core Equity Mutual Funds

14:46 – Retail Investor Behavior

15:40 – Investors Turn Optimistic

16:30 – Is Success Inevitable?

17:40 – Bad News Equals Good Results: When all indications predict the bottom will drop out, why wouldn’t we liquidate some of our portfolio and move to cash?

19:15 – Looking Ahead to November

 19:24 – Percent of Republicans and Democrats Who Say They Have an Unfavorable Opinion of China (Trade Wars)

21:24 – Unemployment Rates in 10 States with the Tightest Election Races in 2016

22:35 – Unemployment Rate by Education Level

23:35 – Change in Economic Expectations by Political Affiliation

24:45 – Stocks Rise Under Most Presidents

Attendee Questions

26:27 – Given how President Trump’s monetary policies have seemed to boost the stock market, what impact will Joe Biden have?

27:25 – It seems that value stocks continue to struggle. Do you foresee any improvement in the prospects for value investors?

29:15 –  Are we in basically a whipsaw i.e. we get small gains then give back the previous several days of gains and maybe a little more than the gains we got previously? Given the number of businesses that will not come back and continued unemployment will our portfolios continue to drift a net down?

31:40 – I read an article in the NY Times that gamblers, without their usual places available for gambling, have now turned to investing in the stock market and are having a marked effect on the volatility of the market.  How is your firm dealing with the effects of gamblers when gauging the direction of the market and making decisions that affect your legitimate investors/clients?

33:32 – Any thoughts on how civil unrest is and/or will affect the economy and the stock market

34:33 – People are talking about Joe Biden’s presidency will hurt the market, what’s your opinion?

35:45 – What does the Pure “merger” mean for your existing clients? (Emigrant Partners has purchased a minority stake in Pure Financial Advisors.)

40:22 – For retirees, given the fact that consumers drive the market and that the stock market is not the economy, what would a good current cash allocation be to have dry powder ready if/when the market adjusts again?

43:42 – Suggestion made keep about 1-year liquid assets for downtimes such as these. What type of liquid asset combination would you suggest rather than just cash in a bank?  (Ask your advisor about Max My Interest.)

Watch the previous market update webinar (May 19, 2020)

Subscribe to our YouTube channel.

Read Brian Perry’s new e-book, Retirement Revamp: Financial Planning in Times of Crisis

 

IMPORTANT DISCLOSURES:

Investment Advisory and Financial Planning Services are offered through Pure Financial Advisors, Inc. A Registered Investment Advisor.

Pure Financial Advisors Inc. does not offer tax or legal advice. Consult with a tax advisor or attorney regarding specific situations.

Opinions expressed are subject to change without notice and are not intended as investment advice or to predict future performance.

Investing involves risk including the potential loss of principal. No investment strategy can guarantee a profit or protect against loss in periods of declining values.

All information is believed to be from reliable sources; however, we make no representation as to its completeness or accuracy.

Intended for educational purposes only and are not intended as individualized advice or a guarantee that you will achieve a desired result. Before implementing any strategies discussed you should consult your tax and financial advisors.