Throughout the past few weeks, our team of associates has been actively addressing many market developments, which include the following:
- Providing outreach to more than 40 investment professionals with whom we have placed approximately 80% of our clients’ assets.
Through these communications, we talk with the brightest minds in the financial services business. With information gathered in these sessions, our research team assesses an enormous amount of developments, especially this week’s news of actions implemented by government agencies.
These developments include stabilizing efforts such as the Federal Reserve (Fed) continuing to do an outstanding job of ensuring financial markets remain in functioning order, amongst heightened levels of volatility. In our discussions with our investment managers regarding Monday’s the Fed actions, we conclude that their quick increase of monetary policy implementation is a “first-responder’s triage” of the global rush for cash, especially US Dollars.
The Fed has transitioned from being a lender of last resort for banks, to a commercial banker of last resort for the broader economy by restarting programs such as QuantitativeEasing, often referred to as QE.
In comparison to prior recessions, the Fed’s actions demonstrate that they learned valuable lessons from the Global Financial Crisis in 2008 and have since created, and continued to expand, an extraordinarily large array of tools – far beyond interest rates alone, to aid the economy.
- Coordinating direct communication with clients through telephone calls, conference calls and emails.
- Taking action to ensure that client portfolios are appropriately allocated and using tax loss harvesting, when applicable, to offset future capital gain liabilities.
- Physically splitting the number of associates who are working from home with those team members who remain in our office.
To date, our team has been healthy and taking actions each day to ensure that our role as your investment consultant continues to be our top priority. Please let us know at any time if you would like further information regarding these unprecedented times.
We look forward to assessing the good news today from Congress and sharing our ideas with you next week as to how some of these actions might be used in the most efficient way to manage your investment portfolio.
Thank you for your ongoing support of our firm. We wish you good health and special times with family and friends in imaginative new ways!