2024 Newsletters Archives - Sycamore Financial Group

Certified Financial Planner Achievements

Hello from Sycamore,

We are thrilled to announce the recent achievements of two outstanding members of our team, Allison Rumschik and Brent Yard. Both Allison and Brent have successfully completed the rigorous coursework, passed the comprehensive 6-hour final exam, and have now earned the prestigious marks of Certified Financial Planners™.

The CFP® designation identifies individuals who have met the stringent experience and ethical standards set by the CFP Board. This includes the successful completion of financial planning coursework at an accredited college or university and passing an exam that covers a wide range of topics: Professional Conduct and Regulations, General Principles of Financial Planning, Risk Management and Insurance Planning, Investment Planning, Tax Planning, Retirement Savings and Income Planning, Estate Planning, and the Psychology of Financial Planning.

Certified Financial Planner™ professionals commit to acting as fiduciaries, which means they always act in the best interests of their clients when providing financial advice. Allison and Brent have demonstrated their dedication to this principle, showcasing their commitment to providing superior results for our clients, our industry, Sycamore, and themselves. We could not be prouder of the dedication and commitment they’ve demonstrated.

Sycamore Financial Group understands that each individual has unique financial aspirations. Consistently achieving these goals hinges on a close relationship with a trusted, knowledgeable financial advisor. With decades of experience in investment management and financial planning, our team is dedicated to strategically safeguarding and enhancing the assets of our clients. We prioritize three objectives for our client’s portfolios: delivering solid returns, minimizing volatility, and optimizing tax efficiency.

Our enduring relationships attest to the quality of service and tangible investment outcomes we provide. By comprehensively understanding your financial goals and objectives, we collaborate to craft a tailored plan that aligns with your specific investing, retirement planning, or college savings strategies. At Sycamore Financial Group, we are committed to guiding you toward financial success with expertise, dedication, and personalized attention.

Please join us in congratulating Allison Rumschik and Brent Yard on their impressive accomplishments and their continued commitment to excellence in financial planning.

Sincerely,
The Sycamore Financial Group Team

By Sycamore Financial Group|2024-07-16T18:20:26-04:00July 16th, 2024|2024 Newsletters|0 Comments

Welcome Adrianna Nojaim

Hello from Sycamore,

We are pleased to announce that Adrianna Nojaim has joined Sycamore as an incoming Investment Advisor. With a focus on financial analysis, strategic planning, and client relations, she is undergoing additional training to better help clients reach their financial goals. We are confident that Adrianna will be a valuable addition to our team at Sycamore. Adrianna brings us a blend of academic excellence and athletic grit.

Adrianna is a graduate of Le Moyne College in Syracuse, NY, where she earned a degree in Business Analytics & Finance and obtained her Master of Business Administration (MBA).

As a 5-year member of the Women’s Lacrosse Team at Le Moyne, she not only showed athletic excellence but also demonstrated strong teamwork and discipline, earning Academic All-American accolades. Adrianna’s ambition extends beyond academics and athletics. As a proud member of the Puerto Rico Women’s National Team, she is actively pursuing her dream of competing in the 2028 Olympics and securing an Olympic medal.

We are happy that Adrianna has joined the team at Sycamore and look forward to a long and prosperous working relationship that will benefit our clients. We are also looking forward to the 2028 Olympics!

Thank You,
Craig Smith

Sycamore Financial Group

By Sycamore Financial Group|2024-07-23T14:22:47-04:00July 16th, 2024|2024 Newsletters|0 Comments

The Low Down on Retirement Accounts 2024

Hello from Sycamore,

If you are 73 or older and haven’t taken your Required Minimum Distribution (RMD) for the 2024 tax year, you will likely need to by year’s end.

What is an RMD?

An RMD is the minimum distribution you must withdraw from your retirement account each year.

When do I have to begin taking RMDs?

You must begin taking your RMDs on April 1^st of the year following the calendar year in which you reach age 73. What does this mean?

Example: Your 73^rd birthday was anytime in 2023. As long as you will reach age 73 by December 31, 2023, you must take your first RMD (for 2023) by April 1, 2024.

Then each year after this you must take your RMD by December 31 of that year.

Can I take more than my RMD amount?

You can withdraw more than the minimum amount required. The total amount you withdraw will be included in your taxable income.

Can I take withdrawals before 73?

Yes. Once you reach 59 ½ you may take withdrawals with no early withdrawal penalty. You will still be responsible for regular income tax on the complete amount withdrawn.

You may also withdraw funds prior to age 59 ½ however, you will likely need to pay an extra 10% early withdrawal penalty in addition to the regular income tax.

Highlights for 2024

Retirement Savings Plan Contribution Limits have changed.

401(k), 403(b), 457 plans, and federal government Thrift Savings Plan contribution limits are $23,000.
1. Catch-up contributions for those over age 50 are $7,500.
IRA contribution limits increase to $7,000.
1. Catch-up contributions for those over age 50 are $1,000.
SIMPLE IRA contribution limits $16,000.
1. Catch-up contributions for those over age 50 are $3,500.

As always, do not hesitate to reach out to our offices at (765) 455-1554 to discuss this.

Thank you for your continued trust and support,

Sycamore Financial Group

*Past performance does not assure future results. Investors cannot invest directly in the stock market indexes such as the S&P 500. Investment return and principal value of an investment will fluctuate. Investor value, when sold may be worth more or less than their original cost.

By Sycamore Financial Group|2024-07-16T17:02:20-04:00May 9th, 2024|2024 Newsletters|0 Comments

2024 First Quarter Market Commentary

Hello from Sycamore,

Performance and the Markets

We are pleased to report that the first quarter was a bonus quarter with our composite gaining more than 7%. This is about three times the normal gain that we would expect so we’re pleased. While we do expect your account(s) to gain more before the year-end, we doubt that the current pace will be sustained. There’s plenty of good news on the economic front, and as you know we believe – in the long run – share prices and your account(s) value will follow the profitability of the companies you hold. There’s much that we cannot control but we can control the quality of the companies in your account(s), and that is where we put our efforts. Obviously, we want as much growth as possible but only if the risk is not too large. Maximizing growth is important, but not as important as controlling risk.

Does anyone remember early 2022 when many were expecting increasing interest rates to spark a recession? Hasn’t happened yet! Our economy continues to be stronger and more resilient than expected. If inflation moves lower, we expect interest rates to decline later this year. Lower interest rates could provide a boost for the overall economy and share prices.

The Magnificent Seven (Microsoft, Alphabet, Amazon, Apple, Meta, Nvidia, and Tesla) are still on a roll. As a group, they gained more than 100% and accounted for about 50% of the S&P 500 gain last year. As we have reported before, they now represent about 30% of the S&P 500 index. Maybe they’ll go up at this rate forever! Maybe this time it really is different! Maybe!

The Economy

From our perspective, the economy is solid. Inflation has been a bit more stubborn than we would like, but it’s better than one year ago. The current rate is about 3.5% which is a nice reduction from the roughly 9% peak in mid-2022 and…Producer Prices continue to decline. The Federal Reserve Bank of Atlanta now expects our economy to grow at a respectable rate of 2.4% for the first quarter of 2024. Unemployment continues to be historically low at less than 4%, which is better than our long-term average. The Bureau of Labor Statistics reported that we created more than 300,000 new jobs in March alone.

We are not saying everything is perfect, it rarely (if ever) is. For instance, commercial real estate values have declined somewhat over the past year or so, and new home sales could be better. We are saying that the economic underpinnings appear to be in place to support growth for both our economy and the companies that we have placed into your portfolio(s). In the long run, betting against the U.S. economy and everyone who runs a business, has been a poor bet. We remain optimistic.

Managed portfolio purchase and sale activity during quarter 1
Sales: Sally Beauty, Sirius XM Holdings, and Hexcel.
Buys: Dentsply Sirona, MGP Ingredients, UGI Group, and Malibu Boats.

As always, do not hesitate to reach out to our offices at (765) 455-1554 to discuss this.

Thank you for your continued trust and support,

Sycamore Financial Group

***This article is distributed for general informational and educational purposes and is not intended to constitute legal, tax, accounting, or investment advice.***

By Allison Rumschik|2024-04-30T04:00:21-04:00April 30th, 2024|2024 Newsletters|0 Comments

2023 Fourth Quarter Market Commentary

Hello from Sycamore,

2023 is now in the books and this year was special for us because it marked completing 40 years for Sycamore. We want you to know how grateful we are to have had this 40-year run and how fortunate we feel to be able to work with all of you.

We are aware that without your business, Sycamore would not exist. A good number of you have been with us since the beginning and many of you worked with me back in the 70’s. They say that time flies when you’re having fun. Without any doubt, this has been fun and we’re just getting started.

I also want to thank Anita (37 years), Karen (38 years), Kathy (19 years), Brent, and Allison (7 years each) for being the best in class. None of this would work without them, and their value to our company cannot be overstated.

Additionally, we’re happy to report that the markets turned 180 degrees from 2022 and we had nice gains for most portfolios for 2023. We’re looking forward to 2024.

All in, what could be better?

We realize that we are very fortunate, and I personally want to thank each of you again for your business and trust.

Performance and the Markets

As we stated above, the markets reversed course from the decline we had in 2022, recovering more than the amount lost last year. Over the past few years, share prices have remained about the same while, at the same time, most companies that we track have continued to show earnings gains. The longer this goes on the more confident we become that share prices will increase from current levels.

You may have noticed that your portfolio has not tracked closely to the S&P 500 index that we use as our ‘market’ yardstick. The S&P 500 is experiencing a phenomenon as just a few stocks – known as the magnificent 7 – now represent about 30% of the index. These stocks are Apple, Microsoft, Nvidia, Alphabet, Tesla, Meta, and Amazon. Through your account at Sycamore, you likely own some of these stocks, but they do not represent 30% of your equity holdings. It’s the “unexpected” that can cause problems with your portfolio, and we are not about to take large risks with your money. Many of you will remember that we experienced a similar divergence in the late 90s during the Tech bubble. In some ways, it’s different this time, but it’s really not different this time.

The Economy – Remember that we want the economic data to be boring!

The economy continues to do well but we’re not expecting a repeat of the growth (near 5% annualized) that we had in the third quarter of 2023. The Atlanta Federal Reserve Bank has reported that our economy grew at a respectable annualized rate of 3.3% during the 4th quarter of 2023. Our economy continues to produce new jobs – about 2.7 million in 2023 – and the unemployment rate remains historically low at about 3.7%. Per capita Real Disposable Personal Income now stands at about $50,000. Just before COVID-19, that number was about $48,000. We are continuing to make progress. The Federal Reserve Bank has been raising interest rates for about a year and it seems to be having the desired effect on inflation which has dropped from about 6% at the beginning of 2023 to about 3.5% by year end. It usually takes about 12-18 months for the effect of an interest rate increase to show fully so we’re expecting the effect of the interest rate increases to be more evident in the next 6 months. We expect that these rate increases will continue to slow the rate of inflation and before long, we expect the Federal Reserve Bank to reduce interest rates.

Purchase and Sale Activity During Q-4

Sales: Kelly Services, Petmed Express, Embecta, Kyndryl, Bell Ring, Post Holdings, Kellogg, Kelonova, Tupperware and Sandoz Group.
Buys: International Flavors and Fragrances.

As always, do not hesitate to reach out to our offices at (765) 455-1554 to discuss this.

Thank you for your continued trust and support,

Sycamore Financial Group

***This article is distributed for general informational and educational purposes and is not intended to constitute legal, tax, accounting, or investment advice.***

By Allison Rumschik|2024-01-26T17:30:13-05:00January 26th, 2024|2024 Newsletters|0 Comments