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Retirement Capital Strategies
  • Getting Started
  • Testimonials
  • Learn More
    • About Us
    • FAQ
    • Managing Your Wealth
    • Helping You Retire
    • Maximizing Social Security
  • Talk Money with Tom
  • Contact Us
    • Contact Us
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    • Ask Tom
  • Existing Clients
    • BlackDiamond Portal Login
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  • July 20, 2021

Market Update: July 20, 2021 Incredible Bounce Back Day!

Disclaimer - Read More

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.

Transcript:

Tom Vaughan:

Hello, everybody, welcome to Tuesday. It’s a green shirt day actually. And it’s very rare to have a red shirt followed by a green shirt. Matter of fact, since I started recording these on the 22nd of March of last year, we only had that happen once, and that wasn’t in the same week: One Friday, and then a Monday. So it’s really kind of amazing; it’s not a super common occurrence. Generally speaking, when you see some downturn, you’ll see continued downturn for a little while. But the market has been falling since last Thursday, through yesterday: Down about 3% on the S&P 500, and apparently that was enough to kind of create some of this buying.


And this is one of my kind of pet theories that I talked about all the time: In order to sometimes get to these new levels, you need to kind of come down a bit and create some kind of momentum, and bargain shopping that comes into the market and pushes it up as far as that goes. But today was a pretty phenomenal day with a lot of really, really powerful motion, on the upside. We saw the small cap Russell 2000 index make almost 3%, which is really been lagging behind the bigger indexes for a while now, so a big shift of money coming in. We’ve had quite a few of these littler dips so far this year. And so we’re seeing a group that’s coming in, and it kind of shows that there’s some cash on the sidelines, once we start to see some of these downturns, you see these come in.


And again, I think it’s going to be very, very difficult to see something of a significant downturn effect here, just because there is money on the sidelines, and it’s not earning much, right? If you’re in a money market, or some of those different types of things, the rates aren’t that high, the banking rates aren’t that high. Bonds are getting to be a little bit more higher on the yield, but even that’s come down some recently. There’s not a lot of other places to really invest. Real estate is a good place, and so that’s some place that I think we’ll see money go, and we certainly see real estate prices doing well. And those are the two areas traditionally that do quite well.


We’re not seeing tremendous gains outside of the US, in terms of kind of the International investments that we have available to take a look at. Once in a while they have some little runs, but really, a lot of that is happening here. So there might even be money coming the other direction, coming into the US, and coming into the US stock market, to especially get some of these dips. So, you’ve got this pretty big pool: Professional money managers, individuals, potential international participants, that are pushing this market forward, and that’s going to continue with rates being where they are.


The risk is going to be really kind of just twofold: things heat up too high. I know, there’s some talk, even today about the fall being a really hot period of time for the economy here in the US. And so, how does the market respond to that, when it gets really hot? Or, a situation where interest rates by the Fed has been increased too many times, and oftentimes we’ve seen that lead to some downturns. But, we don’t have really either one of those right now. Again, it’s not too hot, and the Fed isn’t moving. So really, it’s a good timeframe for the stock market; I think we’ll continue to see some / eek out some gains here. Very fascinating to see what happens tomorrow to follow up on this big move that we had today. So, look forward to talking to you then. Thank you very much.

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Disclaimer - Read More

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.

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