The Objective Advisor

As August draws to a close, it’s a good moment to pause and reflect on the summer—in particular, on the gift of travel.

It is easy to forget how remarkable it is that exploring the world has become so accessible in our time. For most of human history, journeys that now take hours once took months, and travel purely for discovery was beyond reach for most people. That has changed profoundly, and it is worth appreciating.

For all the headlines telling us people are burned out, overspending, under-saving, distracted, anxious, and financially behind… there’s actually some good news emerging underneath the surface.

Last week, reports showed that the number of Americans with “super prime” credit scores — generally considered 780 and above — is growing, especially among younger adults. Even amid inflation, talk of AI taking jobs, and global tensions in the Middle East affecting energy prices and travel, many people are becoming more thoughtful and disciplined with their financial lives instead of less. They’ve been paying attention! They’re also asking questions about debt and setting long-term visions for a better future.

We're living longer than any previous generation. The real measure, though, has never been the length of a life but the quality of it. And that raises a question that doesn't get asked often enough: is your financial life structured to support the kind of life you actually want to sustain?

Graduations, Mother's Day, summer plans, and climbing healthcare costs are all landing at once — and each one, in its own way, asks something of your financial life. Many people are telling me they're feeling the tension, quietly pulling back on spending that supports their wellbeing, skipping preventive care, delaying therapy, or trading time for money while costs continue to rise.

Mark Twain once observed that "it ain't what you don't know that gets you into trouble. It's what you know for sure that just ain't so." Few insights apply more directly to investing than this one.

There is a well-known framework describing four stages of learning. We begin unconsciously incompetent—unaware of our gaps. We then become consciously incompetent—aware of them. Then, with effort, we grow toward genuine competence. That second stage is the critical turning point. Recognizing what you don't know isn’t weakness; it’s the beginning of wisdom.

“Money is like gas in the car — you need to pay attention or you’ll end up on the side of the road — but a well-lived life is not a tour of gas stations.” Author Tim O’Reilly’s observation feels especially relevant this week as inflation and conflict with Iran add pressure to summer travel costs and everyday expenses.

It’s easy to daydream about life outside work — more freedom, more time, more choice. But turning that picture pinto something durable takes more than good intentions. It takes preparation. The choices you’re making, like saving consistently, investing for the long term, managing deadlines, and shaping a sustainable lifestyle, will play a big role in how well your dreams hold up in the real world.

April is both National Stress Awareness Month and Financial Literacy Month, which feels like a contradiction, since for many people, finances are the stress right now.

We're just days past the April 15 tax deadline, AI FOMO is everywhere (because apparently we should all have digital agents running our lives by now), and oil tensions in the Middle East are already affecting summer travel costs. It's a lot.

April has a way of encouraging magical thinking. Some are convinced there's still plenty of time before the April 15th tax deadline. Others imagine a refund check or a raise will solve more than it actually will. And according to a new survey, Americans now believe they'll need $1.46 million to retire comfortably, up $200,000 from just a year ago. That's a big increase!

For most people, it's an abstraction — a figure that feels more like a wish than a plan. Only about 12% of Americans earn $200,000 annually to begin with, let alone $200,000 more than they did last year.

Every year during March Madness, billions of dollars are wagered. A younger generation watches closely, absorbing lessons about prediction, risk, and reward that extend well beyond the brackets. Meanwhile, AI is reshaping industries, global conflicts continue shifting markets, and real questions persist about where disruption begins and opportunity is present.

Somewhere in the middle of all of it, you are making financial decisions — and whether we think about it or not, each one reflects something about what we value.

What if the most valuable meeting on your calendar this week is the one you're least looking forward to?

It's mid-March, and there's no shortage of things competing for your attention. Spring arrives this week. Tax deadlines are approaching. And the world beyond our windows remains restless—markets reacting to an unpredictable trade environment, persistent geopolitical tension, and an interest rate outlook that shifts with every data point.

A bold-faced phrase from a New York Times article last week got my attention. It consists of only two words, yet it speaks volumes about facing the future: And yet.

These two words introduce a life-changing perspective, especially in times of uncertainty.

As you undoubtedly know, last weekend, the United States and Israel entered into direct conflict with Iran, marking a serious escalation in the Middle East. Events like these remind us how quickly geopolitical tensions can intensify—and how closely global markets watch such developments.

When financial and geopolitical waves collide, markets often react first with uncertainty. We may see volatility in oil prices, shifts in defense and energy sectors, currency movements, and short-term swings in equity markets. While these reactions can be unsettling, it’s important to remember that markets have historically weathered wars, conflicts, and geopolitical crises before.

As we approach Thanksgiving, the thought of discussing money matters with our loved ones can stir up all kinds of emotions. Those conversations can feel as tricky as trying to carve the perfect turkey—so delicate!

But here's a little food for thought: being real and open about financial topics with your family and friends could actually strengthen your bonds in ways you might not expect. Sure, it might be tempting to dodge the money chat and stick to lighter topics like the weather or holiday recipes. However, embracing these conversations can lead to a deeper understanding and connection with those you care about. It's a chance to share values, learn from each other's experiences, and support one another across the generational divide.

Second quarter earnings season is in the books, and it was a good one. S&P 500 companies collectively grew earnings at a double-digit pace for the first time in three years. Companies beat estimates at a solid 79% clip. Guidance from company CEOs and CFOs was relatively upbeat. And although some were a bit disappointed by big technology results based on stock reactions, the problem was high expectations more than anything else.

The LPL Strategic & Tactical Asset Allocation Committee (STAAC) determines the firm’s investment outlook and asset allocation that helps define LPL Research’s investment models and overall strategic and tactical investment thinking and guidance. The committee is chaired by the chief investment officer and includes investment specialists from multiple investment disciplines and areas of focus. The STAAC meets weekly to foster a close monitoring of all global economic and capital markets conditions to ensure that all the latest information is being digested and incorporated into its investment thought.

The first half of the year was a challenging environment for a lot of fixed income markets, especially higher-quality markets. With the Federal Reserve (Fed) seemingly unlikely to lower interest rates until after the summer months (at the earliest), the “higher for longer” narrative has kept a lid on any sort of bond market rally. While falling interest rates help provide price appreciation in this higher-for-longer environment, fixed income investors are likely better served by focusing on income opportunities, which has been the traditional goal of fixed income investors. Investors can best navigate the latecycle economic environment by adding high-quality bonds, offering attractive risk-adjusted returns, and lowering overall portfolio volatility. Consider moving away from cash, with the Fed likely to cut rates in the second half.

The LPL Strategic & Tactical Asset Allocation Committee (STAAC) determines the firm’s investment outlook and asset allocation that helps define LPL Research’s investment models and overall strategic and tactical investment thinking and guidance. The committee is chaired by the chief investment officer and includes investment specialists from multiple investment disciplines and areas of focus. The STAAC meets weekly to foster a close monitoring of all global economic and capital markets conditions to ensure that all the latest information is being digested and incorporated into its investment thought.

Jeffrey Roach, PhD, Chief Economist
Jeffrey Buchbinder, CFA, Chief Equity Strategist

When we wrote the annual outlook last November, the data was mixed. Some metrics hinted at emerging cracks in the economy while others suggested the growth trajectory in capital markets and the economy had legs. So, the variety of the data produced the narrative that business activity in the New Year would grow on an annual basis but experience some bumps in the first half of the year. Now, enter the revisions.

Many of us spend decades looking forward to retirement—the day when we no longer have to work. Yet at the same time, work is often the foundation of a meaningful life. It gives structure to our days, opportunities to contribute, social connection, and a sense that we are needed.

This tension is not just philosophical. Research has consistently shown a significant statistical correlation between men retiring and an increased risk of early death. To be clear, retirement itself is not the cause—but the sudden loss of purpose, routine, and identity that can accompany it matters deeply. When meaningful engagement disappears, health and well-being often follow.

When we talk about the future, the focus usually lands on numbers: savings targets, performance reports, next steps. Those matter, of course, but they aren’t the ultimate point.

Part of the purpose of preparing for what’s ahead is to enjoy future freedom—stepping back from the noise and finding a sense of calm and direction that feels right to you. Every week brings new developments—from evolving conflicts to policy shifts and economic updates that influence how we envision the road ahead. The headlines may change quickly, but your focus and consistency are what drive lasting progress.

As headlines shift away from the recent flooding in Texas and elsewhere, the real work for many families is just beginning. Recovery after a tragedy often happens in phases: there’s the immediate response, and then there’s the longer, quieter rebuild. While initial support often quickly fades, the true progress comes from patience and steady effort over time.

Rebuilding—whether it’s after a natural disaster, a financial setback, or a major life event—always starts with a first step, however small. It’s learning to honor the memories of the past while embracing new beginnings and celebrating the progress you make along the way. The process can feel slow, but remember, this is where meaningful change and growth take root.

In the world of finance and investing, we often talk about numbers, trends, and strategies. But equally important to long-term success is a quality that doesn’t appear on balance sheets: humility. Recognizing what we know and—perhaps more importantly—what we don’t is essential to making sound financial decisions.

It is tempting to believe AI will provide clear and reliable answers. While these technologies hold significant promise, they can also produce “hallucinations”—outputs that appear confident and authoritative while being factually incorrect.

In financial terms, burn rate describes how quickly money goes out compared with how fast it comes in. Everyone has one — it’s simply the rhythm of how we use our income to support our lives. When you understand your own burn rate, you gain insight into what keeps your household running smoothly and where there’s room to build flexibility.

Most of the time, that rate feels invisible. Paychecks arrive, bills get paid, and life moves forward on autopilot. But when that rhythm breaks — whether from a layoff, a career change, family challenges or even a short-term disruption like a government shutdown — your personal burn rate suddenly comes into focus.

Most investors are familiar with risk tolerance — a psychological measure that reflects how you perceive risk and respond to market fluctuations. While understanding risk tolerance is essential, it doesn’t tell the whole story.

Risk capacity, in contrast, is an objective measure of your financial circumstances — not your feelings about risk. It analyzes your ability to absorb potential losses without jeopardizing your long-term goals. Factors such as your time horizon to retirement, income stability, savings rate, and future spending needs all determine how much risk you can afford to assume.

The end of another year is the perfect time to take stock of where you stand to make the most of opportunities that can benefit you now and in the future. Two of the most important ways are through a year-end financial review and strategic charitable giving.

A year-end review helps ensure that your financial plan stays aligned with your goals. It’s an opportunity to assess how your portfolio has performed and whether adjustments are appropriate, allowing you to evaluate whether your savings, spending and investment strategies are on track for retirement or other life goals. It’s also the time to review whether your tax planning, insurance coverage, and estate strategies still fit your current situation.

Every year leaves a trail of numbers behind—evidence of choices, effort, and focus. Each contribution, payment, and investment of your resources becomes part of a much bigger picture: the story of how daily discipline transforms into lasting progress. Steady, thoughtful action has a quiet brilliance that can compound over time.

This final stretch of the year can be a strategic one financially. While visions of sugar plums dance in some heads, many people are finalizing contributions, completing charitable gifts, reviewing coverage, and ensuring financial strategies still align with goals for the future. You don’t have to go it alone – I can help you save time, close loops and set the stage for a confident start to a new year while feeling strong about your performance in this one.