January 2009

Dear Clients and Friends,

Happy 2009! We are optimistic that this year will bring pleasant surprises. We, in an ongoing effort to serve you better, are expanding our portfolio offerings to include a group of portfolios that place an emphasis on socially and environmentally responsible companies. They invest in asset classes, using the philosophy of structured portfolio management. They are managed very similarly to the Matrix portfolios, including using DFA mutual funds, but they also add real estate investment trusts. The returns are also comparable. If you are already in the Matrix portfolios this is not much reason to disturb them, but for new investors or existing investors with new money to invest, this is an attractive option.

The company is Abacus Portfolios, and for everyone who is interested, they are presenting a webinar that is open to the public. Abacus is one of the top 250 in the country. For those of you without interent access, let me know if you would like the information presented and I will get it to you! More information below under Abacus Town Hall Meeting.

Also please note new legislation that may affect you included in this newsletter.

We shifted from sending quarterly newsletters to monthly last year because of the market volatility. You have weathered the storm magnificently, and though we may have more rough patches ahead, I am confident that you ‘get it’ and have the knowledge you need to ride to success. I am planning on going back to a quarterly timetable unless I hear from you that you really would like to continue receiving these monthly.

Warmest Regards, and may 2009 bring you health, happiness, and abundance.

Kasey Claytor

2009 Required Minimum Distributions

On December 23 The Worker, Retiree, and Employer Recovery Act of 2008 was signed into law by President Bush. This new law grants a temporary waiver of the required minimum distribution (RMD) from retirement accounts for the 2009 tax year only. The waiver applies to individual retirement accounts (IRAs) and employer-provided contribution plans (QRPs, Keoghs, Individual 401(k)s, and 403(b)(7)s).

For those of you that are affected by this, and wish to suspend your withdrawals to take advantage of the lessened taxes, please call Dawn as soon as possible so we can code your account.

Posted in Newsletters

December 2008

Dear Clients and Friends,

This is one of my favorite times of year. Christmas, New Year’s Eve, grateful times with family and friends, and special nostalgic food; these are some of the things we all love.

Its important to realize that life goes on even though negative news continues to flood the airwaves. Stop and look around at your life. During your day you see others shopping do you not? I know people getting mortgages and credit card companies begging them not to cancel their cards! Life is happening right now, so don’t forget to enjoy it!

For a good laugh go to this SNL video on the financial crisis-

Saturday Night Live- Don’t Buy Stuff

My book on raising financially independent kids is out and makes a good Christmas present to those parents and grandparents in your lives. There is solid advice for the different situations we get in where money is concerned, even with our adult children.

My article in this issue is taken from a great associate advisor, Brent Kessel, with his tips for being crash-proof.  Brent shares our philosophy and is one of the top 250 advisors in the country!

Lastly, it is good to remember that your exceptionally allocated Matrix portfolios are positioned well for the long-term. What is happening out there is short-term. Your portfolios may be passed on from generation to generation!

Here is wishing all of you a lovely holiday!
Kasey Claytor

TIPS to Be Crash Proof

I wanted to share with you some tips in response to the current maelstrom in the market. Perhaps these tips will help you to remain financially safe, sane and calm as you navigate this storm.

When experiencing financial distress, our natural inclination is to want to DO SOMETHING. With investing, this usually backfires. Here are three things we recommend to help cope with these turbulent times:

*1. Consider decreasing your discretionary spending in the short run, and then re-evaluate the need to reduce longer-term spending in January. While the dollars may not seem like a lot, shifting the momentum from “Yes” to “Not right now” has a tremendous psychological effect, and over time, a very positive financial impact as well. Furthermore, if you can afford to trim back your monthly distributions from your Matrix account, now is a great time to do so.

2. Refinance your mortgage if you have less than two years to go in your fixed rate period (assuming you plan to stay in the home long-term), or if your rate is above today’s rates. Call or email us for a good mortgage broker recommendation if you don’t have one.

3. If you have more than $100,000 in any one bank, wire the excess into your Matix account so that we can invest it. As famed investor Sir John Templeton said, “To buy when others are despondently selling and to sell when others are avidly buying takes the greatest fortitude and pays the greatest reward.” Now is such a time. Even if you’d prefer to have your extra cash in money markets, they will be more secure at Schwab than in a non FDIC insured account at your bank.

In summary, this too shall pass. We believe that owning a diversified global mix of equities and short-term bonds is the best way to ensure your financial freedom in the future. Please feel free to call Osprey with any questions or concerns. We can be your lighthouse, here to help you navigate this storm.

*Tips from Brent Kessel

Coaching Services

We all want successful adult children. We love them so very much, but sometimes we make it too easy for them. Sometimes struggle is the best thing for them! You can help in many ways you may not know about. Our coaching services can help you develop the problem solving skills needed to support your adult children toward success, so you both will thrive! One small monthly fee includes 3 thirty minute phone consultations and unlimited email per month. Give us a call. Deep discounts for existing clientele.

Posted in Newsletters

November 2008

Dear Clients and Friends,

I have much news to tell you!

First I’d like to make an offer to all clients and non-clients:

If you are an Osprey client, you probably already know that I am willing and ready to help you re-position your 401k with your employer. We call this reallocation, and it is essential during this time to control the risk to your retirement plan. For those of you who aren’t currently clients, my charge to analyze your current retirement accounts and help you discern your objective is $500. To help allay the fear and anxiety out there right now, I’d like to offer this service for $150 from now until the end of the first quarter of 2009. Just give our office a call. We want to help.

Secondly, Matrix has rolled out a new set of mutual funds that are based on the same philosophy, but do give you additional options. The micro funds in the old program are now closed to new investors, so to add this sector to your investments, you need to use the new funds. Also, you can mix the objectives. Those of you who just opened accounts are already in the new funds. Call me if you are interesting in learning more.

Year to date Matrix continues to bring in far more new dollars than are withdrawn. This is completely opposite to the actively managed mutual industry, which has seen huge numbers coming out of their funds year to date. Perhaps part of the reason ~ most investors do not have coaches helping them adhere to their investment plan.

Third, we have a new part-time employee! Amy Smith, who has lived in our area for 27 years, is onboard now assisting us with bookkeeping and helping with the seminars and other outside activities. We are so pleased to have her expert help and cheerful personality around the office.

One of her first duties, aside from bookkeeping, is assisting me at Suze Ormon’s presentation at the King Center on November 22nd. Osprey Money Management is one of four sponsors. We will have a table at the event, along with our books and information. If you are local, come say hi!

Warmest Regards,
Kasey Claytor

What’s Going to Happen?

No one knows what will happen in the near future, however, we don’t lack for opinions on what will happen and when.

During the first couple of recessions I went through as a young broker, I remember listening to the other brokers give rapid, definite answers when clients asked such questions as, “When is the market going to turn around?” and “When is the recession going to end?” One cause of anxiety over current events is the variety of views given about how the near future will play out. From the stock brokers, advisors, analysts, economists, and political leaders we hear prognostications that run the gamut of all possible scenarios. That is because no one really knows.

It’s human nature to want someone to tell us what will happen. That’s why brokers often come up with their own firm opinion; the client feels better hearing someone who sounds sure. Short term (within the next 6 to 12 months) volatility in the markets and the behavior of the consumers is one big unknown.

I have been in this industry long enough to have heard many, many outrageous predictions over the years. The most extreme predictions were just fear talking. People tend to forget how resilient the markets are, how resilient we, (the public) are, and how creative, innovative, and visionary corporate America can be.

Within this current economy the seeds are being planted for new innovations, new business plans, new products, and new services that will benefit from the changes coming and that we will also benefit from. Wise investors are buying into this volatility.

The important things to do now:
Be prepared for the near term and the long term, make sure your investments are positioned through extensive diversification for both downsides and upsides, and reallocate on a regular basis. You do this, and you are prepared to wait until we come out the other side. If you are with Matrix this is already being done for you.

Posted in Newsletters