Since Eclectic’s inception in 1984, investing in stocks has been a pillar of most (if not all) financial plans we put together for our clients with long term goals. We find it helpful to periodically step back and review the assumptions underpinning our long-term investment philosophy which is what follows in this article.

We hope this article presents a realistic view that falls somewhere in the middle.  We also should clarify that by “pay 1%”, we mean a fee-only financial advisor who charges an annual fee starting at 1% of the amount they are managing.  We don’t mean brokers or commission-based advisors who get paid from sales and transactions.

As we celebrate 40 years of serving our clients this year, we reflect on all the ups and downs we have experienced in the financial markets since Eclectic Associates was founded in 1984. While the world around us has evolved, our investment philosophy has remained consistent.

Have you seen advertisements for title lock insurance and felt scared about having your home title stolen? We have had clients ask us about whether they should purchase title lock insurance and where one might purchase it.

At Eclectic, we focus on the long-term and not the short-term. We think it is impossible to predict the future. We value diversification.

Stocks ended the quarter at a new high, with the S&P 500 up 6%, led by dividend payers and utilities while tech stocks cooled off.

We want to make sure the new federal Beneficial Ownership Information (BOI) report to FinCEN is on your radar, if you are required to complete it.

Our founder, Bill Camp, originally was a farmer in the Central Valley of California before he changed careers and started Eclectic Associates. Farming is not easy: the days are long, it takes a lot of hard work, a crop is often totally dependent on the timing of rain, and sometimes the difference between success and failure is a narrow margin. Farming also teaches you things, whether you want to learn or not. 

The vast majority of retirees say that they would like to stay in their own home for the duration of their retirement.  This is often called “aging in place”.  But for many people, there comes a point where they need to make hard decisions about their living situation and the future.  

“Being fee-only planners, we believe we offer our clients objective advice. We never receive commissions on anything we recommend.”

-Letter to a potential client from Bill Camp, December 1985 

Stocks were mixed during the quarter, with the S&P 500 up 4%, led by tech stocks. The utilities sector has also posted remarkably good performance as investors expect strong electricity demand to power data centers for artificial intelligence (AI).

Bill Camp and his wife, Anita, decided on the company’s name in early 1984. Over a number of days they considered a lot of different names, but finally decided on the word “eclectic” while searching out words in the dictionary.

Perhaps you’re starting to see retirement and Social Security checks on the horizon. If you still have a mortgage, you may be wondering: “Should I plan on paying off this mortgage before retirement?

Going through a divorce can be emotionally challenging, but it’s crucial to address the financial aspects as well. Seeking professional financial advice during this process can significantly impact your future stability.

Eclectic Associates started in Fullerton, California in 1984, which makes 2024 our 40-year anniversary. In the world of financial advisors, that type of longevity is about as rare as a black bear swimming in a Fullerton pool - it can happen, but not very often!

As pointed out thousands of years ago, there’s nothing new under the sun.  And indeed, the main structure of scams hasn’t changed much. 

Even though we all know we can’t predict the future, it doesn’t seem to stop us from trying. The news is filled with predictions and opinions from various “experts” doing the same thing.

Stocks started the year strong with the S&P 500 gaining 10%, continuing the late 2023 rally. Tech stocks led, while value stocks, especially in the energy and financial sectors, also saw robust gains.

First off, this update from the IRS only affects certain Inherited IRA and Inherited Roth IRAs - those where the original account owner (referred to as the decedent) passed away in 2020 or later.  If you have that type of inherited account, keep reading!

We don’t plan to have a medical emergency. Rather, something happens and we need to rush to the emergency room of a local hospital.

At Eclectic Associates, we believe that getting a look at a client’s entire financial picture, not just their retirement and brokerage accounts, guides us in making sound and well-informed decisions for our clients.  Not only is it important for us to have a holistic view of a client’s overall wealth, but there are many times when a client does not yet have a grasp of their own true net worth.

Recent changes in the tax law have expanded on the rules for 529 accounts, making them an extremely useful tool for helping the next generation get ahead whether they end up going to college or not. 

Daniel (Dan) York is an Elder Law Attorney who practices in the Fullerton area.  During a recent presentation, Dan mentioned his concentration on elder law and how it differs from general estate planning.  We thought that was an intriguing and perhaps often misunderstood topic, so we asked Dan to discuss it further in the following interview. 

Election season is in full force here in the United States, but Tuesday, November 5th, 2024 still feels a long way away. Between election uncertainty and geopolitical events, we shouldn’t be surprised if stock market volatility rises. You may be wondering what to expect from the rest of this presidential election year.

Despite numerous risks, the markets climbed “a wall of worry” and reversed much of the losses from 2022. Most of the gains were earned in the last nine weeks of the year.

IRMAA or the Income Related Medicare Adjustment Amount is a Medicare surcharge or tax determined by your two-year prior MAGI (Modified Adjust Gross Income).

Managing your credit card balance and overall credit usage percentage is a critical part of maintaining a good credit score.

If you, like so many others, are putting off making your charitable donations until it gets closer to the end of the year, we suggest you start on that right away.

As we enter into the final months of 2023, the deadline to comply with the Required Minimum Distribution (RMD) rules is quickly approaching.

We think investors are susceptible to making a couple of mistakes in the current market.