AAM Monthly Newsletter July 2022

Hello and thank you for reading my e-newsletter.

I hope you find the information useful.  If you enjoy the newsletter please forward to a friend.   Please also let me know what you like to see so that I may continue to provide relevant content.

If you are a client of mine, thank you for your continued business and please update me on any changes in your situation do that I can make the appropriate changes to your financial plan and investments.

If you are not a client please consider giving me a call or emailing me if you would like to begin a plan to get you to your financial goals.  I consider myself different from many of the advisors out there for the following reasons:
1) You will not be pressured to purchase any products because I am a fee-only advisor and a NAPFA® Member (no commission sales)
2) You will have a comprehensive financial plan completed by a Certified Financial Planner ™ Practitioner or CFP® – I have committed to financial planning and continuing education.
3) You will have a reasonable fee for the services performed.  I charge less than the typical large financial planning firm by being a small shop and keeping my business expenses low.

Ronald J. VanSurksum, CFP®

For more insight on these groups and myself please click on the following links

Please see below for financial articles and tips


Stocks dropped and volatility continued in June as inflation surged higher and the yield curve slightly inverted with the possibility of a recession increasing, but not imminent.

Index performance                                       June 2022____    YTD 2022_

  • The S&P index                                 -8.39%                 -20.58%
  • Dow Jones industrial 30                -6.71%                 -15.31%
  • The NASDAQ Index                         -8.71%                 -29.51%
  • The Russell 2000 Small cap          -8.37%                -23.93%
  • EAFE International Index              -10.74%               -20.58%
  • The US Dollar                                   +2.96%                 +9.58% 
  • Oil                                                       -7.77%                 +40.62%
  • Gold                                                    -1.80%                 -1.22%
  • 10-Year Treasury Yield                   3.00%                   1.50% on 12/31/2021
  • 30-Year Treasury Yield                   3.16%                   1.91% on 12/31/2021                   

Volatility remained high in June for the S&P 500 index.  The index began at 4,132, rose to a high of 4,177 on 6/2 then fell to a low of 3,637 on 6/17 before settling at 3,785 for a difference of 540 points or about 12.93% from high to low.

Markets are struggling to determine if inflation is peaking or if costs will continue to surge and what the impact will be on business and consumer spending.

Oil and gold both fell but the US Dollar surged against the value of other currencies.  Hopefully the drop in oil and gas prices will signal peak inflation and we will start to see relief in the coming months.

Stocks once again hit a new low for 2022 but any rally in June was muted by economic and second quarter earnings concerns.

The 10-year treasury moved higher to finish at 3% giving savers another option for secondary cash reserve savings.  The Schwab Money Market now pays about 1.4% and I-bonds are yielding 9.62% which can be purchased through the US Treasury website and need to be held for at least 1 year.

The best way to get through volatile markets is to stick with your plan, rebalance to buy low and stay diversified.  This too will pass!

Please contact me if you have questions or simply just wish to talk about your plan.  I can meet you in my office or virtually over the computer and I am here to help!

Recent US Economic Data

US Manufacturing – ISM manufacturing fell but beat expectations.
Jobs – The June payroll report came in above expectations adding another 372,000 jobs, unemployment was steady at 3.6% which matched and average hourly earnings rose 0.3% and also matched expectations.
Housing Prices – Both Shiller and FHFA home prices rose with Shiller rising more than expected.
Housing starts – Both housing starts and building permits fell and missed expectations.
Existing home sales – Fell but beat estimates.
GDP – 1Q GDP final estimate was lower than expected contracting 1.6%.
Retail Sales – Fell and missed expectations.
Leading indicators – Fell and missed estimates.
Durable goods orders – Rose and beat expectations.
Inflation data continued higher – consumer prices rose more than expected, producer prices rose and matched estimates, both import and export prices rose while PCE prices rose a little less than expected.

For weekly market updates please visit my blog at www.aamllc.com  

Mortgage Rates
Mortgage rates were higher over the last month.   The national average on mortgage as per Bloomberg.com shows the 15-year rate is now at 4.87% and the 30-year rate is at 5.67%. These rates are as of 7/13/2022 and may include points.   

CD Rates
CD rates were mixed over the last month.  Charles Schwab has access to CD’s from banks all over the country.  Here are some of the current CD rates offered and I am going to start tracking I-bond rates as well.

6 mo CD @ 2.26%           1-Yr CD @ 2.80%             I-Bonds @ 9.62%

2-Yr CD @ 3.15%             5-Yr CD @ 3.40%

Tips and Suggestions

The next quarterly estimated tax payments are due 9/15/2022 for the 3rd quarter of 2022.  Go to www.IRS.gov to make your payment today (if needed).

With yields heading up and stocks down 10% to 20% this year it could be a good time to put some excess cash reserves to work.  I can manage these dollars for you or give you advice on what type of investments to use based on your goals.  Schedule a meeting soon to discuss.

Another good option for cash reserves are I-bonds if you hold the money for 12 months or more. Purchases are limited to $10,000 per year per person.  www.treasurydirect.gov  

It is time to start planning for 2023!  What would you like to accomplish next year?  How much to you want to save and home much do you need to save to reach your financial goals? 

Develop a 2022 cash flow plan to maximize your health savings account, 401k, 457, 403b or IRA contributions for 2022.

Is your estate plan up-to-date?  This is a good time to review your estate plan and update your beneficiary designations.

If you have a child attending college next fall get your FAFSA done ASAP.  The sooner you fill out your FAFSA the better chance you have for financial aid.

Considering which colleges are the best fit based on your financial circumstances and your child’s academic experience?  I have access to a program that can help!

Do you have children age 18 years or older?  You may want to plan for an emergency by obtaining HIPPA authorizations or power-of-attorney so that you can get health information, if needed.

ABLE accounts are now available in the State of Michigan.  ABLE accounts are for certain individuals with disabilities to accumulate funds for their long-term needs without disqualifying themselves for Medicaid.  Check it out at www.miable.org or give me a call.

When is the last time you reviewed your insurance plan?  Is your disability income keeping up with your income?  Do you have any term life insurance policies expiring soon?  Do you need additional coverage or less coverage?  Let’s discuss.

Are you on track to meet your financial goals?  Do you have a plan to get you where you want to be?  If you do not you may not reach your goals.  Let’s make a plan to Maximize your financial potential.

Do you need a debt payoff plan?  Let’s work on one together.

Need help with your 401k?  We can do a virtual meeting to allow me to help review your 401k online and help you rebalance.  We can access the plan together online, I can give you control to log in and then we can discuss and make changes together.  Let me know if you want to discuss!

If you have any questions or if you would like to have help with your financial plan please give me – your Fee-only Certified Financial Planning ™ Practitioner – a call.

Useful Links

Work on Your Financial Plan:  


View Your Schwab Accounts:  www.schwab.com

Check your risk tolerance:



All articles are now found on my website blog: www.aamllc.com

The website has a new look!  Check it out!

Social Security Tips – June 2022

The Evolution of the Modern Portfolio Manager

As Secondary Cash Reserves – I Bonds Make Long-Term Sense

Wedding Bells Prompt Parents to Revisit Family Finance Lessons

Overspending – Why do we do it?

Could You Pass this Quiz

Setting Goals : Key to Most Success Stories

Market Conditions – 1Q 2022 Outlook

As Interest Rates Rise – Get Rid of Credit Card Debt

On a Day to Remember – Give Meaningful and Memorable Gifts

Set Yourself Up for Financial Freedom

Roth or Regular (Traditional) IRA – Which is Best for Me?

Contact MeDo you want more information on how I can help you?  Give me a call or drop me an email to review or set up a free initial consultation.

“Like” AAM on www.facebook.com/AAMLLC
Follow me on www.twitter.com/aamllc
Get LinkedIn www.linkedin.com/in/ronaldjvansurksum
Weekly Blog Updates and My Website www.aamllc.com