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on balance-3-1

January 2022

 

As 2022 begins, we face the third year of the COVID-19 pandemic. December ended with the Omicron variant running rampant, but nonetheless we find ourselves in a far better position than this time last year. By all appearances, the Omicron variant is a milder form of Covid and as of mid-December, the CDC reported that 77.2% of the population over 5 years over age has had at least one vaccination.1Despite inflation, the economy demonstrated healthy growth in 2021 – just over 6% in the first two quarters and over 2% in the third. Unemployment also reached a historically low level. And the Fed announced it will be taking steps to curb inflation through interest rate hikes in 2022.

The S&P 500 ended 2021 up by close to 27% as of December 31, while international markets, as measured by MSCI EAFE Index returned almost 9% for the year.2 There are risks, including the reduction of stimulus from the Fed, inflation, and the potential of new Covid variants. While the outlook for the market is positive, the fact remains that investors should continue to pursue a disciplined, diversified strategy and remain invested throughout all market conditions. As history has shown repeatedly, investors who stay the course will be rewarded by the markets over time.

As always, we’re here to do all we can to help you achieve your most important goals. Best wishes for a safe, happy, and prosperous 2022.

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5 Ways COVID-19 Has Affected Women's Financial Planning

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Why a Stock Peak Isn't a Cliff

Many investors may think a market high is a signal stocks are overvalued or have reached a ceiling. Reaching a new high doesn't mean the market will retreat.

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5 Tips for Making Financial Resolutions You Can Actually Keep

If 2021 threw your finances for a loop—or was a continuation of the challenges you encountered in 2020—a financial resolution might be on your list of ways to improve your life in 2022.

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The 50 Best Family Films to Stream on Movie Night

Whether you're shopping for a gamer, globetrotter, home cook or bookworm, we've got all the ideas you'll need this season. It’s the season of giving – let it also be the season of giving wisely.

 

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Apella Capital, LLC is an investment advisory firm registered with the Securities and Exchange Commission. The firm only transacts business in states where it is properly registered or excluded or exempted from registration requirements. No one should assume that future performance of any specific investment, investment strategy, product, or non-investment related content made reference to directly or indirectly in this material will be profitable. You should not assume any discussion or information contained in this email serves as the receipt of, or as a substitute for, personalized investment advice. As with any investment strategy, there is the possibility of profitability as well as loss. Apella Capital, LLC does not provide tax or legal advice and nothing either stated or implied here should be inferred as providing such advice. Due to various factors, including changing market conditions and/or applicable laws, the content may no longer be reflective of current opinions or positions.

Registration with the SEC or any state securities authority does not imply a certain level of skill or training.

Investors cannot invest directly in an index. Indexes have no fees. Historical performance results for investment indexes do not reflect the deduction of transaction and/or custodial charges or the deduction of an investment management fee, the occurrence of which would have the effect of decreasing historical performance results. Actual performance for client accounts will differ from index performance.

S&P 500 Index represents the 500 leading U.S. companies, approximately 80% of the total U.S. market capitalization.

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