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Transcript

Hello, I’m Bond. James Bond. Actually, no, I’m not. I’m Ken Moraif, and this is our weekly Market Alert video. I am wearing a tuxedo, as you can see. I’m going to a wedding, but as always, making this video comes first..but the wedding is next, so I’m all spruced up. What do you think?  

Anyway, let’s talk about more important things. Let’s talk about what’s going on with the markets. And of course, as always, when Jerome Powell, the Federal Reserve Chairman speaks, the world stops—or at least economic world stops, and it listens. And basically, what he said is we are on schedule, we’re not going to change much, but we may start reducing our bond purchases. As the Fed buys bond, they create demand for bonds. As bond prices go up because of that demand, that drives interest rates down. So, what they’re saying is that later on this year, they may reduce the amount of their buying; and therefore, allow interest rates to rise.  

Now, the Fed did not say that they’re going to raise interest rates; they said they’re just going to take away the downward pressure. So that’s a little bit of a good sign because it means the economy continues to improve and the labor conditions seem to be getting better.  

They also said that the Delta variant should not be a permanent condition, so we think we’ll be able to play through that. So again, it all looks, and as we’ve been saying, we anticipate new all-time highs through the rest of this year. I don’t know how many highs, but so far, we’ve had over 50 for the year. We might even get to 100…who knows? 

Certainly, we’ve seen continued profit improvements for companies as people go back to work. And yes, there are some disruptions in the supply chain due to the COVID-19 Delta variant; but again, we believe those will pass. It looks like things are going to be getting better, and our investments should look very good.  

Now, obviously, we don’t have a crystal ball. At any time, things can change dramatically. And that’s why we have our Invest and Protect Strategy™ ready to be implemented at any time—because things can change very, very quickly.  

As we saw last year, right out of the blue, the pandemic came at the market, and the S&P went down 43 percent in the span of one month. We don’t want that to happen, and as we protected you from it last year, we will do so again in the future. We will get out to protect you. But right now, we don’t see that coming.  

Therefore, I think everybody should put on their tuxedos and go have a nice night on the town! It’s actually my middle daughter’s best friend who is getting married. The invitation says black tie is optional; and anytime it’s optional, I’m going for it. I’m wearing my tie.  

Thank you for watching this video. Be sure to share this with your friends, your business associates and your family. Also, make sure you subscribe. We had another 2,000 people subscribe to our podcast and our video this month so far, and it’s very exciting. So please do subscribe, and you’ll can get notified on your devices wherever you are—on your terms and your schedule. So again, thank you for watching this video and we will talk soon. 

MMWKM Advisors, LLC (d/b/a Retirement Planners of America ) (“Retirement Planners of America”) is an SEC registered investment adviser with a primary business location in Plano, Texas. Past performance may not be indicative of future results. All investment strategies have the potential for profit or loss. References to the “invest and protect strategy” (the “Strategy”) and recommendations made under the Strategy from 2007 through 2009 refer to strategies collectively employed and recommendations collectively made by Retirement Planners of America’s principals while employed at Eagle Strategies, LLC., and also at Cambridge Investment Research Advisors, Inc. Four of the five principals remain as principals today, including the Retirement Planners of America’s founder, Ken Moraif, and Chief Investment Officer, Eli Dragon. Retirement Planners of America has been employing the Strategy since its inception in 2011. Therefore, any references to Retirement Planners of America’s performance or its investment advisory recommendations predating 2011 generally refer to recommendations made by Retirement Planners of America’s principals at the respective other firms described above. Like all investment strategies, the Strategy is not guaranteed. It is possible that it can incorrectly predict a bear market (generally accepted as a 20% drop in a market index), which has, in-fact, happened before at Retirement Planners of America and affected its clients accordingly. When the sell / “protect” portion of the Strategy is implemented, affected investors will incur transaction costs and taxable accounts will incur tax consequences. However, when implementing that portion of the Strategy, Retirement Planners of America generally believes that the benefit of avoiding bear markets outweighs the burden of these transaction costs and tax consequences.