Apologies for missing the Q1 recap. I looked up and it was the end of April already and at that point it’s a little late to talk about Q1.
I hope you are relaxing in a pool in the shade while reading this update. I’ve spent some time over the last week thinking about how I can work from a pool. Haven’t figured it out yet, too many electronics. Speaking of electronics and pools – while on our family trip to Hilton Head in June I was swimming with the twins and after about 5 minutes realized my phone was still in my pocket. Face, meet palm.
Anyways, welcome to the hottest start to summer that I can remember. Hope your AC is going strong and your electric/energy bills don’t require creative funding in order to pay on time.
2nd Quarter Stock Market Snapshot:
Figured I’ll start with the Market snapshot this time around, always fun to look at good news!
Index: Close 12/29/23 Close 6/28/24 Q2 2024 +/- YTD 2024 +/-
Dow Jones Industrial Avg 37,689.54 39,118.86 (1.73%) 3.79%
S&P 500 4,769.83 5,460.48 3.93% 14.48%
NASDAQ 15,011.35 17,732.60 8.26% 18.13%
(Source – Broadridge Investor Communication Solutions, Inc. – Quarterly Market Review: Dec 2023 – Jun 2024. Copyright 2024, Broadridge Investor Communication Solutions, Inc., All rights reserved.)
Chart reflects price changes, not total return. The Dow Jones Industrial Average (DJIA) is a price-weighted index composed of 30 widely traded blue-chip U.S. common stocks. The S&P 500 is a market-cap weighted index composed of the common stocks of 500 leading companies in leading industries of the U.S. economy. The NASDAQ Composite Index is a market-value weighted index of all common stocks listed on the NASDAQ stock exchange. Market indices listed are unmanaged and are not available for direct investment. Past performance is no guarantee of future results.
With one small explanation – Tech companies aren’t well represented in the DJIA index – you can see that Tech and the “Magnificent 7” led the way. In the past, media has used fun monikers when there are a couple concentrated outperformers like FANG or FAANG, but with 7 companies in there I guess they gave up and started using Western movie titles. Is the “Hateful 8” next? I would guess only if there is a big crash.
The 7 companies that are driving a majority of stock index returns are:
Nvidia
Meta (formerly Facebook)
Tesla
Amazon
Alphabet (Google)
Microsoft
Apple
I mean c’mon, there’s three A’s in there. MANATAM has a fun ring to it, right? If we can find one more big name company that starts with A and is having a great run we can make it really catchy like the Muppets “Manha Manha”. (You’re welcome for that being in your head for the rest of the day)
I’ve had several clients ask about these stocks and if you’re also curious we can put together your top 20 stock holdings report to show you exactly how much of the Mag 7 that you own with us, as of the most recent quarter end.
LPL Research Mid Year Outlook:
This has been the section I’ve struggled with the most to write so I’ve decided to outsource forward looking commentary and our back office partners at LPL typically have some great insights.
https://www.lpl.com/news-media/research-insights/lpl-research-midyear-outlook.html
Personal update:
Lenny & Aggie are 5 and Jeanie will be 2 by quarters’ end. Holy Moly. Kindergarten in the fall looms. Not looming is a drop in daycare/preschool expense, as the twins will have half day KG and they’ll spend the other half at another location. I guess that cost savings starts to come in 1st grade, THEN we’ll feel rich!
Girls are doing great and keep Lesley and I feeling a combination of young and old, young in that we can mostly keep up with them and old in that we can’t completely keep up with them! I’ve joked to Lenny that everytime she says “Daddy Daddy Daddy” I lose a hair. It may not actually be a joke.
They had a pretty amazing 5th birthday including a party with friends at Paulus Farm Market and presents that included a new mud kitchen, bikes and an inflatable bounce house with a pool that just fits in our narrow backyard. My lawn will never be the same. Aggie also loves her new bubble shooter.
Jeanie is a smiling happy little girl and wants to do everything her big sisters do. Everything except wearing flotation devices at the pool. This is particularly troublesome as she wants to jump in just like her sisters and of course hasn’t figured out that whole swimming thing just yet, so Jeanie needs about 1.5 adults to supervise her around water and hence doesn’t get to go quite as much!
Lesley is enjoying her summer off and recently showed her… we’ll call it … “experience” when she posted to social media about how excited she was about the new carpeting we got upstairs. Hard to imagine that level of excitement just a few years ago 😉
She has the girls at home a couple days a week over the summer and it’s amazing that the house appears pretty much in order when I get home and give her a break during which she usually goes to a Barre class. Within the 1.5 hours that she’s gone and Dad is on duty the house is essentially destroyed. Every time. I’m not sure how she manages it.
I’ve just been going with the flow as much as I can. I have a monthly “Dad’s night” in the calendar to enjoy and also recently went on a guys trip to Louisville to check out how bourbon is made. There may have been some small amount of tasting involved. The most impressive part of going out to bourbon country was just the sheer number of barrels that are sitting and aging inside the ridiculous number of Rickhouses – and those were just the ones we could see from the road. I also checked two states off my list – by my count I’ve been to 33 now – when our Uber took a wrong turn and crossed the Ohio River into Indiana before turning around.
Business update:
The long planned shock to the system in 2023 with Laird’s retirement has been pretty much normalized this year and we’ve been getting into a rhythm again. One thing we have been focusing on is income for our clients approaching or already in that stage of life, and with interest rates at a peak (we think), there are some interesting opportunities for folks to take advantage of before rates could start to decline.
Jon is through his Series 7 exam and is 3 for 3 on exams so far. Just the one exam for the Series 66 is left and then we’ll be getting ready to launch him as a financial advisor! I’m looking forward to helping him get off the ground running and it’s bringing back memories, both fond ones and not so fond ones, of my early days as a financial advisor. The good news for Jon is that he’s got a salary to lean on as he builds his practice so that should smooth out many of the bumps that I had experienced early on.
I’ve been dusting off my networking boots recently and that’s been fun to get back out there more often. I recently rejoined Camp Hill Professional Referral Exchange after 7 or 8 years away. There are still 3 members in there from when I had left! If you’re looking for a professional service or anything around the house, chances are I know a guy or gal who can help, so feel free to ask me.
Introductions:
Lastly some self promotion. I’m a generalist by trade – I enjoy working with a variety of clients in a variety of life stages as it keeps me sharp on many topics. That said, there are 4 types of clients I’m specifically looking for. I highlight one per quarter.
Adoption
Anyone thinking about adopting or already in the process. Any questions they have whether they are financially related or not – I’d be happy to share my experiences with others. I also learned a thing or two about some adoption nuances related to taxes, etc. No fee/charge for anything related to adoption, it’s hard enough to go through it emotionally and financially. My hope would be that after helping them through this journey that they would think of me for future services.
Social Media:
Connect with me for some timely posts and event news. I’ve sent out a few Facebook invites to clients recently so if you get one don’t think I’ve been hacked. Maybe I’m not smart enough but the only way I can figure out how to ask you to follow my business FB page is to be personal friends first. As a side bonus that is a good way to sneak some pics of the family now and again!
X (Twitter) - @KenLoganCFP
FB - @KenLoganCFP
LinkedIn - linkedin.com/in/ken-logan-cfp®-1b759131
Happy Summer to all and looking forward to serving you!
Ken
This is meant for educational purposes only. It should not be considered investment advice, nor does it constitute a recommendation to take a particular course of action. Please consult with a financial professional regarding your personal situation prior to making any financial related decisions. Stock investing includes risks, including fluctuating prices and loss of principal.