Second Quarter, 2015 Here are selected rate of return numbers year to date as of 3/31/2015* Major Bond Indexes Financial Update Dow Jones Industrials +0.33% S&P 500 Index +0.95% NASDAQ Composite +3.48% MSCI World (ex. U.S.) in U.S. dollars +3.83% Russell 2000 +4.32% Russell 1000 Value Index -0.72% Russell 1000 Growth Index +3.84% Russell 3000 TR USD +1.80% Barcap Intermediate Treasury +1.28% Barcap Aggregate +1.61% Mutual Funds (Morningstar) Large-Cap Growth +4.88% Large-Cap Value -1.43% Small-Cap Growth +6.70% Small-Cap Value +2.41% What we are waiting for is not as important as what happens to us while we are waiting. Trust the process. -Mandy Hale Comprehensive Financial Planning The media has sparked a lot of recent interest on financial planning. At times, it can feel like an information overload. But we often hear the question, Why is it important for me to have a financial plan? Before understanding the benefits, let us take a moment to understand the components of a financial plan. A financial plan involves various factors of a person s personal life that must coordinate to build a functional and realistic plan. A client s goals are the main driver of any financial plan which could also include building assets for retirement, funding college education for children or grandchildren, buying a home, or setting aside funds for traveling. (Source: Morningstar) *Inclusion of these indexes is for illustrative purposes only. Keep in mind that individuals cannot invest directly in any index, and index performance does not include transaction costs or other fees, which will affect actual investment performance. Individual investor s results will vary. Past performance does not guarantee future results.
Our team is dedicated to listening and understanding our client s passions, accomplishments, and values. If money were not on your mind, what would you be doing? These help us to understand your perspective and attitudes towards money management and how we can map out a strategy that fuels your passions. A financial plan then looks at the same strategies of how to achieve these various and often simultaneous goals. The tools our team uses include: Investment Planning, such as establishing an Investment Policy Statement, understanding a client s risk tolerance, asset allocation, money manager selection, and rebalancing and monitoring the portfolio. Strategies for Selecting and Funding of Retirement Accounts and Distribution Strategies. Current and Long-term cash flow Management. Risk Management, LTNC Life Insurance, and Annuities. Education Savings Accounts. Coordination and Strategic Planning with other Advisors on Estate Planning, Taxation, Insurance, etc. The benefits of having such a comprehensive financial plan at any stage of one s life include: Security in knowing that the plan is cohesive and integrated, and is being monitored, addressing all areas of one s financial well-being. A partner to help keep one focused on the long-term goals and strategies without becoming distracted, while also maintaining flexibility to adjust for life s inevitable unplanned events. At Miller Advisors, we strive to create a customized and comprehensive roadmap for each client. We feel our team s individualized approach allows clients to participate in each phase of the creation, maintenance and rebalancing of their plan, thus empowering them around their financial decisions. Each member of our team believes in the following guiding principles for our firm: To partner with you as your trusted advisor. To assist in transferring your values to your family and heirs. To provide sound advice during each stage in your life. To be a partner when unexpected events occur in your life To align your financial plan with life goals. To help organize, maximize, and simplify your financial life. To help you see the whole picture of your financial health. Please put a face to the name and read about our individual roles on the next page(s). By Kristen Perrin and Nicole Miller Images: galleryhip.com, celebrationfamily.com
Team Roles at Miller Advisors Kathleen Miller, Owner President & CEO is your financial advisor and partner. She has been guiding clients in reaching their financial goals for 30 + years with a special expertise in helping individuals plan their financial strategies when facing major life changes. k.miller@milleradvisors.com David Simpson is our Senior Investment Analyst. He provides the investment research and construction of client profiles and is available to answer any questions you may have on your investment strategy. d.simpson@milleradvisors.com Judy Chambers is our Operations Associate. She is always happy to assist you with your account needs and reporting. Ask for her help with transfers, deposits and check requests. j.chambers@milleradvisors.com Nicole Miller, Owner, Managing Partner & Senior Financial Advisor, is also your financial advisor. She is an expert partner using our Goal Planning and Monitoring tool to provide individual and integrated planning solutions for you. n.miller@milleradvisors.com Tanya Rhodes is our Senior Client Consultant. She will assist you with everything from tax, retirement and estate planning to preparing financial investment reports. t.rhodes@milleradvisors.com Kristen Perrin is our Administrative and Marketing Coordinator. She supports the team and coordinates the marketing and communications activities. Kristen is also our event planner and your meeting scheduler. k.perrin@milleradvisors.com
Take Time for a Mid-Year Review Spring is an ideal time to reassess your progress and to tackle long-overlooked paperwork. Every year, many Americans set financial goals but far fewer actually achieve them. Here are a few guidelines that may enhance your chances for success. Make sure you have specific goals, regardless of how big or small they are; then figure out how you can adjust your spending habits to ensure you achieve them. Where can you cut back - cable fees, gym memberships, that extra pair of shoes? There are several online budgeting and personal money management tools and apps that can help you keep track of your expenses and how much you re spending - and have left to spend. Re-evaluate how much you re saving and then increase the amount if it s only by 1% of your pay. Time and the power of compounding are your greatest allies when it comes to saving for retirement. Above all, if your employers offers a company match, save at least the amount needed to receive the maximum match. Create a rainy day emergency fund, even if you have to start small. Setting aside just $50 a paycheck is a good way to begin. Most financial experts recommend setting aside at least six month's salary for emergency purposes. Check and monitor your credit reports. You can check yours for free once a year by logging onto AnnualCreditReport.com. It will provide the individual credit reports from TransUnion, Equifax and Experian. Reviewing these reports gives you a look at your credit history and the information you need to dispute anything that may be inaccurate. There s a lot of valuable information online regarding steps you can take to help you improve your credit score. Make a new plan for tackling credit card debt. Some people may be paying off credit card debt from the holidays well into the new year. This may be a good time to re-evaluate your credit card usage and how much you can pay off on a monthly basis. If you have more than one card and the interest rates vary, paying off those with the highest rates can save you a lot in fees. Update and organize your financial documents. Before you take this step, shred outdated documents that you no longer need. If possible, think about switching to electronic statements instead. Also, if you ve recently experienced a major life change (birth of child, marriage, death), review all of your retirement account and IRA beneficiary forms. You might also make this the year you write a will or trust, if you have not. Source: American Funds Image: blog.conqueryourdebt.com
By the Numbers Marcel s Mastermind THEIR LOSS: 52% of 1,001 adults surveyed in March 2015 do not have any money invested in the stock market. 21% of the 52% (i.e., 11% of the 1,001 adults) do not invest in stocks because they don t know (enough) about stocks in order to feel comfortable about investing. Source: Bankrate.com EXCESS CASH TO SPEND: Vacation home sales in the United States have increased from 553,000 in 2012 to 717,000 in 2013 to 1.3 million in 2014, i.e., vacation home sales have doubled in the last 2 years. Source: National Association of Realtors TOO FEW BABIES: The nation s general fertility rate (defined as the number of births per 1,000 women aged 15-44) fell to 62.5 births in 2013, the 6th consecutive year that the number of live births has decreased nationwide. Source: National Center for Health Statistics Invest in tennis balls. They have a high rate of return. Staff News We would like to welcome Tanya Rhodes to the Miller Advisors team. Tanya joined in March 2015 to assist Kathleen and Nicole providing financial services to our clients including education funding, investment and tax planning, retirement distribution strategies, cash flow management and pre and post-divorce planning. Her financial career began in 1986 when she started as a stock broker. Tanya holds the Chartered Financial Analyst Designation is currently studying for her designation as a Certified Financial Planner. It s in the Numbers: 4 out of the top 6 jobs in the USA in 2015 are math-oriented. The #1 ranked job is an actuary, #3 is a mathematician, #4 is a statistician and #6 is a data scientist. Source: CareerCast
Kathleen was featured as one of the Top 50 Wealth Managers in the April 2015 issue of Seattle Magazine. Kathleen s garden was featured in the April edition of Outdoor Spaces, a Better Homes and Gardens Special Interest Publication. The magazine is not available online so please ask Kristen to send you a copy of the article or you can pick one up at various stores in the area. Images: Outdoor Spaces and Zazzle All Staff Images by Lisi Wolf Photography We would like to remind you that in the event you are unable to speak with someone at our office, you can contact Raymond James Client Services directly for assistance with your accounts at (800) 647-7378. We want to thank those of you who have referred your associates, clients, family members and friends to us. Your referrals are personally and professionally the most satisfying way for our practice to grow. Miller Advisors, Inc. is a SEC Registered Investment Advisor. The information contained in this report does not purport to be a complete description of securities, markets, or developments referred to in this material. The information has been obtained from sources considered to be reliable, but we do not guarantee that the foregoing material is accurate or complete. Expressions of opinion are as of this date and are subject to change without notice. Past performance does not guarantee future results. Please take note that our office will be closed on Monday, May 25th for Memorial Day. If you have any questions or feedback regarding the newsletter, please contact Kristen Perrin and let her know how we can improve our communication with you. Our office will also be closed on Thursday, July 2nd and Friday, July 3rd as we will be with our families for Independence Day Weekend.