Shelter in Place Market Update 10.8.2020. Home building, construction and furnishing going strong.

Tom Vaughan is a Certified Portfolio Manager and CEO of Retirement Capital Strategies. Retirement Capital Strategies is a registered investment advisor located in San Jose, California.

The opinions voiced in these presentations are for general information only and are not intended to provide specific advice or recommendations for any individual(s). The information provided herein is obtained from sources believed to be reliable, but no reservation or warranty is made as to its accuracy or completeness. Statements and opinions are subject to change without notice. Asset allocation and portfolio diversification cannot assure or guarantee better performance and cannot eliminate the risk of investment losses. Past performance is no guarantee of future returns. Investing involves risk and possible loss of principal capital. Accordingly, you should not rely solely on the information contained in these materials in making any investment decision as the material does not take into account your particular investment objectives, financial situation or needs and is not intended as recommendations appropriate for you. You must make an independent decision regarding investments or strategies mentioned in this presentation. Before acting on information discussed in this presentation, you should consider whether it is suitable for your particular circumstances and strongly consider seeking advice from your own financial or investment advisor. Prospectuses, investment objectives, risks, charges and expenses of any investment product should be reviewed carefully before investing. This platform is solely for informational purposes. Advisory services are only offered to clients or prospective clients where Retirement Capital Strategies and its representatives are properly licensed or exempt from licensure. No advice may be rendered by Tom Vaughan or Retirement Capital Strategies unless a client service agreement is in place. “Likes” are not intended to be endorsements of our firm, our advisors or our services. Please be aware that while we monitor comments and “likes” left on this page, we do not endorse or necessarily share the same opinions expressed by site users. While we appreciate your comments and feedback please be aware that any form of testimony from current or past clients about their experience with our firm is strictly forbidden under current securities laws. Please honor our request to limit your posts to industry-related educational information, comments and questions. Third-party rankings and recognitions are no guarantee of future investment success and do not ensure that a client or prospective client will experience a higher level of performance or results. These ratings should not be construed as an endorsement of the advisor by any client nor are they representative of any one client’s evaluation. Investment positions mentioned in these videos may be held in some of our existing portfolios. Tom Vaughan and Retirement Capital Strategies are unaffiliated and separate from those companies whose investment positions are mentioned and is not liable for their products or services.

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Transcript

Hello, everybody, welcome to Thursday, S&P 500 is up today again, .8%. Good day overall. And the leading a targeted indexes that we have today is the US home construction index that we bought recently, and up almost 3% today, which is really exciting all together. And so let’s just talk about this index and kind of the selection methodology and what’s in there. I like this particular index a lot, because it’s quite broad. It’s not just homebuilding. It’s also construction supplies, it’s home improvement to which I think is an important component. It’s the construction engineering, the electrical components, the home furnishings, the forest and wood products and construction materials, etc. So very broad reaching into all the different areas.

And so, look at the theme, what’s the concept that would drive this forward and continue to make it work? Well, interest rates being low, is a big boost to real estate as a whole, even for refinancing and putting that money back into your house or equity, Home Equity, credit lines, those types of things when rates are low, that makes that a lot easier. And of course, now that people are working from home a lot more, a lot of them want better homes, or you know, maybe they’re an apartment, and they want to be in a condo or what have you. So that’s a big piece of the driver. And the theme seems very strong there. So then you have to go look and see how it’s been doing. Okay, last nine months, this particular index is up over 30%, according to Morningstar, the S&P 500 has only been up a little over 4% in that same timeframe. So that’s really good. overperformance definitely got some momentum happening there. And then I also want to look and see what happened in the last downturn.

So the S&P was down, you know, 9%, from high to low. In September, how did this index do well did better. And that’s good, that tells me the market is very interested in this particular area. And so that’s why we bought it, you know, just recently, and of course, that’s why it’s doing pretty well, too. So, you know, we try to get into that momentum and such and let it let it ride out. But I also like it because it’s a diversified piece. We’re moving out of the technology and advanced healthcare and into some other areas that are doing quite well. We are seeing some spread, this money is starting to move around. It’s a different areas outside of technology and advanced healthcare, which are still doing quite well overall. But there’s not the only game in town anymore, which I really like that’s super healthy for the market going forward is to see more participation from companies and industries. And that’s that’s a good sign. I think that’s going to continue here as far as as I can tell. So I want to thank everybody for watching and let’s see what happens tomorrow. Thank you.

Tom Vaughan is a Certified Portfolio Manager and CEO of Retirement Capital Strategies. Retirement Capital Strategies is a registered investment advisor located in San Jose, California.

The opinions voiced in these presentations are for general information only and are not intended to provide specific advice or recommendations for any individual(s). The information provided herein is obtained from sources believed to be reliable, but no reservation or warranty is made as to its accuracy or completeness. Statements and opinions are subject to change without notice. Asset allocation and portfolio diversification cannot assure or guarantee better performance and cannot eliminate the risk of investment losses. Past performance is no guarantee of future returns. Investing involves risk and possible loss of principal capital. Accordingly, you should not rely solely on the information contained in these materials in making any investment decision as the material does not take into account your particular investment objectives, financial situation or needs and is not intended as recommendations appropriate for you. You must make an independent decision regarding investments or strategies mentioned in this presentation. Before acting on information discussed in this presentation, you should consider whether it is suitable for your particular circumstances and strongly consider seeking advice from your own financial or investment advisor. Prospectuses, investment objectives, risks, charges and expenses of any investment product should be reviewed carefully before investing. This platform is solely for informational purposes. Advisory services are only offered to clients or prospective clients where Retirement Capital Strategies and its representatives are properly licensed or exempt from licensure. No advice may be rendered by Tom Vaughan or Retirement Capital Strategies unless a client service agreement is in place. “Likes” are not intended to be endorsements of our firm, our advisors or our services. Please be aware that while we monitor comments and “likes” left on this page, we do not endorse or necessarily share the same opinions expressed by site users. While we appreciate your comments and feedback please be aware that any form of testimony from current or past clients about their experience with our firm is strictly forbidden under current securities laws. Please honor our request to limit your posts to industry-related educational information, comments and questions. Third-party rankings and recognitions are no guarantee of future investment success and do not ensure that a client or prospective client will experience a higher level of performance or results. These ratings should not be construed as an endorsement of the advisor by any client nor are they representative of any one client’s evaluation. Investment positions mentioned in these videos may be held in some of our existing portfolios. Tom Vaughan and Retirement Capital Strategies are unaffiliated and separate from those companies whose investment positions are mentioned and is not liable for their products or services.

By participating in any of these live streams, you agree that any questions submitted by you might be used by us in the future on this YouTube channel. We will not share your personal information.

If you have questions, please write to us at: asktom@talkmoneywithtom.com.

  • MoneyGuidePro®
  • Advent Software/Black Diamond Reporting
  • Riskalyze, Inc.
  • thinkpipes®
  • Right Capital
  • YCharts, Inc.