September 15 Email Commentary to Clients
These are extraordinary times in the financial markets and there may be questions about what this means for you and I am anxious to answer them. Please be assured that I am closely monitoring your account in this volatile market environment, taking whatever actions I deem appropriate with respect to any securities transactions on your behalf. In the meantime, please consider the following important points and if you have any specific questions, I encourage you to call me:
- We were fortunate enough to sell months ago any mutual fund(s) which were heavily invested in the financial services area.
- As for the mutual funds which we own in our portfolios now, none of them had the following securities as one of their top 25 holdings: AIG, Fannie Mae, Freddie Mac, Lehman Brothers, Merrill Lynch and/or Bank of America. Nor did we own any of these securities in our managed portfolios.
- Some of our ETF portfolios own the KBF Bank Fund which makes up less than 1% of assets and it does not own AIG, Fannie Mae, Freddie Mac, Lehman Brothers and/or Merrill Lynch. KBF does own a small position in Bank of America which may form into a financial services powerhouse with the acquisition of Merrill Lynch.
- Attached is a US News and World Report “The Lessons of Black Monday” which sheds’ light on why informed long term investors shouldn’t panic during these times.
- I have received phone calls asking about how safe Charles Schwab is after the news about Lehman Brothers so I attached two pieces explaining Schwab’s financial condition and how assets are treated when Schwab is the custodian.
The news lately has been focused on mother nature’s way of creating havoc with its hurricanes, but investors are now being battered by Wall Street’s hurricane which did less damage than feared so far. As bad as it seems, Wall street has survived much worse and will make it through this one as well. As I email you this update, the stock markets are off their lows of the day which is a good sign and I am thankful that we don’t own any of the companies which are in jeopardy.
I will stay in close communication with you as we move forward. If you have any questions about current market conditions or your portfolio, please do not hesitate to contact me.
IMPORTANT DISCLOSURE INFORMATION
Please remember that past performance is no guarantee of future results. Different types of investments involve varying degrees of risk, and there can be no assurance that the future performance of any specific investment, investment strategy, or product (including the investments and/or investment strategies recommended or undertaken by Bouchey Financial Group, Ltd. [“Bouchey Financial”]), or any non-investment related content, made reference to directly or indirectly in this blog will be profitable, equal any corresponding indicated historical performance level(s), be suitable for your portfolio or individual situation, or prove successful. Due to various factors, including changing market conditions and/or applicable laws, the content may no longer be reflective of current opinions or positions. Moreover, no portion of this discussion or information contained in this blog serves as the receipt of, or as a substitute for, personalized investment advice from Bouchey Financial. To the extent that a reader has any questions regarding the applicability of any specific issue discussed above to his/her individual situation, he/she is encouraged to consult with the professional advisor of his/her choosing. Neither Bouchey Financial’s investment adviser registration status, nor any amount of prior experience or success, should be construed that a certain level of results or satisfaction will be achieved if Bouchey Financial is engaged, or continues to be engaged, to provide investment advisory services. Bouchey Financial is neither a law firm nor a certified public accounting firm and no portion of the blog content should be construed as legal or accounting advice. A copy of the Bouchey Financial’s current written disclosure Brochure and Form CRS discussing our advisory services and fees is available for review upon request or at www.bouchey.com. Please Note: Bouchey Financial does not make any representations or warranties as to the accuracy, timeliness, suitability, completeness, or relevance of any information prepared by any unaffiliated third party, whether linked to Bouchey Financial’s web site or blog or incorporated herein, and takes no responsibility for any such content. All such information is provided solely for convenience purposes only and all users thereof should be guided accordingly. Please Remember: If you are a Bouchey Financial client, please contact Bouchey Financial, in writing, if there are any changes in your personal/financial situation or investment objectives for the purpose of reviewing/evaluating/revising our previous recommendations and/or services, or if you would like to impose, add, or to modify any reasonable restrictions to our investment advisory services. Unless, and until, you notify us, in writing, to the contrary, we shall continue to provide services as we do currently. Please Also Remember to advise us if you have not been receiving account statements (at least quarterly) from the account custodian.