Mountain Vista Wealth Management
Guiding from Valley to Peak
INTRODUCTION“A banker is a fellow who lends you his umbrella when the sun is shining, but wants it back the minute it begins to rain” -Mark Twain
Before we dig through the financial market activity of the 1st quarter, I wanted to address the turmoil in the financial sector and some common concerns and misconceptions about the safety of your cash and investment accounts. [Read more…] about Q1 2023 Investment Letter
“In investing, what is comfortable is rarely profitable.” -Robert Arnott
The year 2022 was challenging for any investor utilizing traditional investments to construct their portfolio. With the Federal Reserve raising interest rates at a blistering pace and switching from Quantitative Easing (“QE”) to Tightening (“QT”), most assets had to be marked down to the new environment. [Read more…] about Q4 2022 Investment Letter
Bear markets present tax planning strategies for astute investors. In this article we will explore how Roth IRA conversions and tax-loss harvesting may benefit you during this brutal investment environment. [Read more…] about Bear Market Tax Strategies
“Most of the returns in stocks are concentrated in sharp bursts beginning in periods of great pessimism or fear… We believe time, not timing, is key to building wealth in the stock market.” -Bill Miller
This quarter was certainly a roller coaster ride for the stock market. The S&P 500 climbed 14% through mid-August, before reversing course, eliminating all of those gains and then some. This kind of volatility is enough to make even the strongest of stomachs a bit queasy. That said, the experience of the last three months should be a reminder of a few valuable lessons. [Read more…] about Q3 2022 Investment Letter
“Bull markets are born in pessimism, grow on skepticism, mature on optimism and die on euphoria. The time of maximum pessimism is the best time to buy, and the time of maximum optimism is the best time to sell.” -John Templeton
The contrast between market sentiment in 2021 and 2022 could not be more extreme. According to the AAII Investor Sentiment Survey, the spread between the percentage of “bullish” and “bearish” investors was +20 last year and was -38.9 this June. Extremes in market sentiment are typically viewed as a contrarian indicator. High readings signal a fully invested buyer base and low readings suggest cash on the sidelines that will turn into future demand. [Read more…] about Q2 2022 Investment Letter