Opportunities in the wake of the Pandemic

Opportunities in the wake of the Pandemic

March 25, 2020

With adverse events often comes great opportunities!

The recent market decline as well as interest rate changes and other economic events will present great financial planning opportunities for everyone.  Here are just a couple of things to consider:

  1. Do you have a mortgage?  If the rate is over 3.25%, it might be time to refinance. Low rates now can save a significant amount over the long term.  They may not be this low again for a long time. Let me know if you need a referral to a mortgage professional.
  2. Traditional to Roth conversion – if you are retired, it might be a great time to convert some of your IRA into a Roth IRA. With the Secure act pushing RMDs out to 72, this is a great planning opportunity.  
  3. Tax loss harvesting and re-balancing. If you have a taxable account and haven't re-balanced for fear of taking the gain, you may have an opportunity now.  You could take some tax losses then, repurchase similar holdings.  (Maybe even offset the Roth Conversion)
  4. Reinvested Dividends and Capital Gains – As the markets decline, the automatic purchase and reinvestment of dividends means you are automatically buying shares at a lower price. When the market rebounds you will have more shares at a higher value.

If you would like to know more about these strategies, please contact me.

This commentary was created by Aspire Planning Group and is for informational purposes only. The views expressed are based on current market conditions and are subject to change. The commentary does not take into account any investor’s particular investment objectives, strategies, tax status, or time horizon. There are no assurances that the techniques and strategies discussed are suitable for all investors or that the predicted results will occur. The commentary does not constitute investment advice, tax advice, or legal advice. All investments are subject to risk, and past performance is no guarantee of future results.
Aspire Planning Group, LLC is a d/b/a of HighPoint Advisor Group, LLC (HPAG), a registered investment advisor. For current HPAG information, please visit www.advisorinfo.sec.gov and search by CRD#163768.