Obermeyer Wood Investment Counsel, LLLP

The American economy and financial markets continued to shrug off hawkish monetary policy in an impressive march forward through the first half of the year. Markets started the second quarter of 2024 on shaky footing, with stock indices all down more than 4% in April, before rebounding significantly in May and June. Although major U.S. indices finished the quarter in positive territory for the year, large-cap companies continued to outpace small-cap companies by a significant margin. The catalysts for market movements throughout the quarter were the usual suspects as of late: the Fed, inflation, AI, consumers, and corporate earnings. As we approach the general election in November, we know emotions will be running high. Partisan politics are certainly not new. However, viewer-monetized 24-hour news cycles, social media algorithms, disinformation potential, and other factors appear to have heightened divisiveness over the last decade. As investors, we look to history to guide us on how to navigate the markets during election years and help guide clients through periods of uncertainty. The data from previous election years tell us four important things: 1. Volatility increases in the lead-up to election day and levels out after the election. 2. Markets, on average, have had positive returns in all election years, and performance in presidential election years has exceeded the market's all-time average annual return since 1926. 3. Since 1948, there has not been a statistically significant correlation between one-party control of the White House and Congress and market performance. 4. Economic conditions such as inflation and the labor market play a more significant role in stock market performance than political parties. We remain cautiously optimistic about the path ahead for the market. The equity market continues to make its preference clear for established companies with industry leadership, significant competitive moats, and large total addressable markets. Our team continues to focus on high-quality companies with strong organic growth prospects and positive industry dynamics. We continuously monitor risk and client exposures, are thoughtful about asset allocation based on each client’s circumstances, and have a firm belief in the power of sticking to long-term and disciplined strategies. Click the link below to read our latest newsletter, which includes market commentary, a book review of Kyla Scanlon's "In This Economy?" and a recap of our team trip to Omaha for the Berkshire Hathaway Annual Shareholder meeting. https://lnkd.in/gyJnmiWV

We wish everyone a wonderful Fourth of July Weekend! Whatever you are doing to celebrate, we hope it will be a holiday filled with family, friends, and gratitude. Please note that we will have modified operating hours in observance of the upcoming holiday. We will close at 11:00 a.m. on Wednesday, July 3, and resume regular business hours on Friday, July 5.

This Juneteenth, we hope you will join us in celebrating the perseverance and achievements of Black Americans, and recommit to the foundational principles of equity, equality, and justice. Please note that we will have modified operating hours in observation of the upcoming holiday. We will close at 2:00 p.m. on Tuesday, June 18, and resume regular business hours on Thursday, June 20.

We wish you a meaningful Memorial Day Weekend spent with family and friends. As you gather, we hope that you will pause to honor the lives of our fallen service members through remembrance and reflection.   Please note that we will have modified operating hours in observance of the upcoming holiday. We will close at 2:00 p.m. on Friday, May 24th, and resume regular business hours on Tuesday, May 28th.

We are excited to share that Forbes and SHOOK Research recently recognized our firm. Wally Obermeyer, Ali Phillips, and Dana Nightingale, CFA, CFP, representing our team’s collective efforts, were recognized for their dedication to providing clients with sound financial guidance and investment management. Obermeyer was named one of the top 250 wealth advisors in the country, and one of the top advisors in the state of Colorado. Phillips and Nightingale joined him on the ranking of the state’s top advisors, and Obermeyer Wood was the only independent advisory firm in Colorado to have three advisors named to this list. The Forbes ranking of America’s Top Wealth Advisors and Best-In-State Wealth Advisors, developed by SHOOK Research, is based on an algorithm of qualitative criteria learned through telephone, virtual and in-person due diligence interviews, and quantitative data such as revenue trends and assets under management. The ranking also weighs factors such as service models, compliance records, and industry experience, and focuses on those who encompass best practices in their approach to working with clients. “We are driven by our desire to serve our clients and their families to the very best of our abilities,” said Phillips. “These recognitions reflect the dedication of everyone at Obermeyer Wood to providing best-in-class service, holistic financial planning and guidance, and sound investment management. We also know that none of this would be possible without our clients’ partnership and support, for which we are grateful.” https://lnkd.in/g7HjnsnJ

Women are a powerful force in the economy. Women manage the finances in a majority of U.S. households, and 99% of women in high-earning households are involved with financial planning. And the next generation of women is poised to earn even more – millennials already have the largest percentage of female billionaires of any generation. Yet it’s important to acknowledge that women face a unique landscape when it comes to building wealth. Women still earn 82% of what men earn, a wage gap that has remained stubbornly stable over the last 20 years, and many women find finance and investing an intimidating boys club. It’s not all bad news – women also face distinct advantages when it comes to personal finance. Women still outlive men, allowing more time to take advantage of compounding interest while also resulting in more inheritances. And women make excellent, if not superior, investors – Fidelity Investments has found that women outperform men by 40 basis points with a more cautious buy-and-hold investing strategy that leads to better returns over time. We asked two of Obermeyer Wood’s industry-leading advisors to share their most important financial advice for women. #personalfinance #investing #financialliteracy #wealthmanagement https://lnkd.in/g2x2vTwj

The U.S. economy kicked off 2024 by continuing its defiant march forward through the headwinds of the historic interest-rate-hiking campaign by the Federal Reserve. With conditions holding up sufficiently well under the weight of a 5.25%–5.5% benchmark rate since July 2023, the Fed appears content to take a patient approach to cutting rates as it waits until later this year for further evidence that inflation is firmly heading to its 2%. With a soft landing likely coming into focus and markets looking forward to rate cuts and further AI-fueled growth, it is important for investors to remember that nothing is guaranteed and that keeping a level head is paramount to staying steady during both the good and the bad times. Click the link below to read more market commentary, our latest book recommendation, and firm updates. https://lnkd.in/geZgZPTx #wealthmanagement #investing #personalfinance

Happy Holidays to those who are observing over the coming days! Please note that we will have modified operating hours in observance of the upcoming Good Friday market holiday. We will close at 2:00 p.m. on Thursday, March 28, and resume regular business hours on Monday, April 1.

We are thrilled to announce the completion of our acquisition of Vail-based Booth Creek Capital and the addition of its founder and portfolio manager, Adam Savin. The acquisition demonstrates our commitment to providing top-tier investment solutions to clients. "We are excited to welcome Adam to our team," said Ali Phillips, President of Obermeyer Wood. "His expertise will be invaluable as we enhance our investment strategies and bolster our capabilities to better serve our clients in the years and decades to come." You can learn more by clicking below to read the full news release on our website. https://lnkd.in/gbsmey5Y

In observance of the upcoming Presidents’ Day market holiday, we will be closing at 2:00 pm MST on Friday, February 16, and will resume regular business hours on Tuesday, February 20.