Newsletter
September 2025 | A Note from Kinsey
To our valued clients,
A NOTE FROM KINSEY
“As most of you have heard by now, I’ve had some fairly serious health issues over the last month. In the beginning of August, I experienced terrible headaches. I ended up in the ER in Lubbock while visiting friends and discovered I had a brain tumor in my right frontal lobe. I’ve had two melanomas in the past that we believed were caught early and removed. I was already an established patient at MD Anderson for those melanomas so when the brain tumor was discovered our team really wanted us in Houston. On August 20th, I had a craniotomy and the tumor was successfully removed. As of today, it’s been a little over two weeks since the surgery, and I’m doing great. I walk every day. I haven’t had anything stronger than a Tylenol in the last 10 days. The tumor was confirmed to be metastatic melanoma so further treatment will be required. We are working to be able to receive treatment (a combination of two different immunotherapies) in Amarillo. The treatment will be fairly intense over the remaining months of 2025 and then I will move to once a month in 2026. I was fortunate enough to be part of a clinical trial for GammaTiles that uses very localized radiation on the tumor cavity. Early data on the trial is very promising.
I’ll be returning to work on a limited basis this week. I fatigue easy and predict it will only be a couple hours a day in the beginning. When you get a life changing diagnosis, you can’t help but evaluate your life. Here’s what I know:
I love Canadian. I have been overwhelmed with love and generosity. It’s been humbling to be on the receiving end of so much love.
I have the best family, friends, and church a person could ask for.
I hate sitting at home. I’m terrible at it.
I really do love my job. I’ve already gotten push back from a few people close to me about going back to work. But my job is fulfilling, and I work with some of the best people on the planet. My neurosurgeon encouraged me to get back to regular life as soon as I feel able. Even while in the hospital I was reading articles and listening to podcasts about financial planning. I feel blessed to enjoy my career.
Our team at Perennial Wealth Advisors is amazing. We’ve always taken a little different approach at our firm in that all three advisors work as a team for every client. In situations like this, where I may be out for good chunks of time, it’s great to know that there are two other advisors that are intimately knowledgeable about your situation. We will work hard to make sure that there is efficient continuity of service. Lorena keeps our office running like a well-oiled machine, and she needs to be your first point of contact.
Many of you reached out in the first week or so after my surgery. I was overwhelmed and terrible at responding. Please know that your notes and calls meant so much to Dillon and I.
Thank you for your prayers and notes of encouragement.”
-Kinsey Burrus
MARKET UPDATE
If you have made it this far, you’re up to date on Kinsey’s situation, and are likely a regular reader of our monthly newsletter. This being the case, you might have noticed that last month our beloved Nick Murray did not release a “Client’s Corner.” Well, this month he is back with a vengeance in a piece titled “The Mythology of Bonds.” Given the relative density of this article, I will spare you my thoughts and encourage you to read Nick’s. If you are an active client of PWA, Nick’s piece will immediately follow as a separate email with an attached PDF, and I will be back with an update next month. Thank you for being clients and readers.
FRIENDLY REMINDERS
One Big Beautiful Bill Act –Signed into law by President Trump on July 4th, 2025, this legislation makes permanent the seven tax brackets created by the TCJA. These permanent brackets are: 10%, 12%, 22%, 24%, 32%, 35%, and 37%. Also, the estate tax exclusion per individual was moved up to $15 million. There is much more in the bill, and we have attached a graphic outlining the changes.
Life Insurance – In the event that you have active life insurance policies, please reach out to us for a review. We are doing our best to cover these in meetings, but want to make sure we do not have any unforeseen lapses in coverage. As a newly independent firm, we do not have the same type of viewing/payment capabilities as before. Please reach out with any questions.
Google Reviews – Please consider using this link to give us a review on Google. These reviews help us become more visible, credible, and to find and serve more clients like you.
PWA Portal – Below is a link to your PWA portal login. This portal is your one-stop shop to view your accounts, balances, and quarterly statements. If you are unable to login, please let us know and we will get you set up.
Thank you, thank you, thank you for the continued support for Kinsey. We are appreciative always that you are our clients. It is a privilege to serve you.
On behalf of your PWA team,
Brock Hedgecoke, CFP®
Financial Advisor
August 2025 | Gold vs. Equities & Good Books
As I write, the Standard & Poor’s 500 is very near its all-time closing high of 6,389.77. For those of you that remained faithful through the media induced pandemonium earlier this year, well done. A quick piece below.
GOLD VS. EQUITIES
Occasionally in meetings or in conversation, the age-old question of investing in gold arises. I understand the logic trail, especially when the overall market is posed with the newest “this time it’s different” disaster. In these moments, gold seems safer than ever, and occasionally (like this April), gold has its day in the sun. Journalists were singing its praises as the precious metal achieved its new all-time high.
However, I owe it to each of you as an advisor to tell you the whole story, not simply leave you subject to the newest media craze or investment fad. Yes, gold did reach an all-time high in April. And yes, as one of our clients shared with me, gold has outperformed the S&P 500 year-to-date. So why should we own stocks at all and not just gold? The chart below outlines the change in three categories since January 1980: the return of gold, the growth of inflation, and the return of the S&P 500. What follows is the whole story.
Notes:
The price of gold in the table is from 08/05/2025.
The CPI number is from June. CPI stands for Consumer Price Index – this number tracks inflation based on consumer spending.
The price of the S&P 500 is from 08/05/2025.
It’s worth mentioning the price for the S&P 500 does not include the 44+ years of dividends. On the flip side (as you might guess), gold produces no dividends, interest, or anything else.
The numbers speak for themselves. Since January 1980, the price of gold has increased by 4.2 times. The price of large cap American companies, as represented by the S&P 500, has increased by 54.8 times. Gold has minutely outplaced inflation. The S&P 500 has, as they say, “left it in the dust.”
CLIENT’S CORNER AND BOOK RECOMMENDATIONS
Client’s Corner will not be released this month, but will return in September. In place of Client’s Corner, Nick Murray shared a list of his “Essential Books,” in his newsletter to advisors. In the same spirit, I’ve included two of my favorite financial books below – should any of you feel inclined to read the writings of authors much more articulate than myself!
Simple Wealth, Inevitable Wealth by Nick Murray
Written for the layman, I have yet to find a more clear, concise, and compelling book on the power of common stocks in the wealth-building process. In many ways, we have aimed to build Perennial Wealth Advisors in line with the philosophies outlined in this book. Though explicitly written for non-professionals, I have found the book to be foundational in my work as an advisor. I highly recommend you give it a read.
The Psychology of Money: Timeless Lessons on Wealth, Greed, and Happiness by Morgan Housel
There are plenty of books outlining the path to wealth; wealth (though often vaguely) defined as a large net worth, in a purely monetary sense. In contrast, this book does a great job describing the importance in how we think about money, as well as a redefining the role money plays in our lives, especially with regard to happiness. I found it to be rich in wisdom and a helpful guide as I move forward with my own financial life.
FRIENDLY REMINDERS
One Big Beautiful Bill Act –Signed into law by President Trump on July 4th, 2025, this legislation makes permanent the seven tax brackets created by the TCJA. These permanent brackets are: 10%, 12%, 22%, 24%, 32%, 35%, and 37%. Also, the estate tax exclusion per individual was moved up to $15 million.
Life Insurance – In the event that you have active life insurance policies, please reach out to us for a review. We are doing our best to cover these in meetings, but want to make sure we do not have any unforeseen lapses in coverage. As a newly independent firm, we do not have the same type of viewing/payment capabilities as before. Please reach out with any questions.
Google Reviews – Please consider using this link to give us a review on Google. These reviews help us become more visible, credible, and to find and serve more clients like you.
PWA Portal – Below is a link to your PWA portal login. This portal is your one-stop shop to view your accounts, balances, and quarterly statements. If you are unable to login, please let us know and we will get you set up.
We welcome your comments and questions. Thank you, as always, for being our clients. It is a privilege to serve you.
On behalf of your PWA team,
Brock Hedgecoke, CFP®
Financial Advisor
July 2025 | Goal-Focused, Plan-Driven, Long-Term Equity Investors
Market Update
No doubt it has been a rather tumultuous first six months of this very eventful year. I’d like to start this newsletter with a handful of timeless truths pertaining to successful wealth management—principles that guide our work together toward your goals. Following, I’ll provide some current commentary on the market.
General Principles
We are goal-focused, plan-driven, long-term equity investors. Our portfolios are derived from, and driven by, your most important lifetime financial goals, not any view of the economy or the markets.
We don’t believe the economy can be consistently forecast, or the markets consistently timed. Nor do we believe it is possible to gain any advantage by going in and out of the equity market, regardless of current conditions.
We therefore believe that the most efficient method of capturing the full premium compound return of equities is by remaining fully invested, all the time.
We are thus prepared to ride out the equity market’s frequent, often significant but historically always temporary declines. We believe that even during such trying episodes, our reinvested dividends will be buying more lower-priced shares—and that the power of equity compounding will be continuing, to our long-term benefit.
Current Commentary
If you looked at the equity market on the first trading day of this year, and not again until the end of June, you could be forgiven for concluding that not much— if anything—had happened. In fact, a great deal happened—but at least so far, to no lasting effect.
The S&P 500 Index made a new all-time high on February 19th. By April 8th, it had closed 18.9% lower. And even that doesn’t express the degree of sheer panic—there’s no other word for it—that enveloped the markets upon President Trump’s announcement (on April 2) of a dramatically increased tariff protocol.
The panic ended just as abruptly after Mr. Trump announced a 90-day postponement of most of the new tariffs. And in the seven weeks or so since then—buoyed by continued strength in the economy and signs that inflation may be continuing to moderate—the Index returned to the neighborhood of its early January levels.
As it virtually always is, the optimal course of action for long-term investors was simply to continue working your plan. That’s what we encouraged you to do. And as the second half of the year begins, that recommendation stands. Please don’t mistake this for an economic or market outlook. We have no such forecast for the next six months, any more than we did on January 1.
Our only forecast is that excellent businesses of the kind we own will go on innovating over time—increasing their earnings, raising their dividends, and supporting our clients’ pursuit of their long-term goals.
Panic doesn’t often seize the investing public as suddenly as it did in the first week of April, nor vanish as suddenly as it did the following week. Still, this episode can and should serve as a kind of tutorial.
Its lesson: investors succeed over time by continuously working their plan regardless of the current “crisis.” Others fail by reacting to negative events and liquidating even the highest quality equities at panic prices. We believe that’s always the fundamental choice in investing, and our mission—which we cherish—is to help you continue to choose wisely.
Friendly Reminders
One Big Beautiful Bill Act – This bill was signed into law by President Trump on July 4th, 2025 and contains many tax and spending policies. We are actively studying the provisions of this bill to understand its impact on our clients. More info to come.
Life Insurance – In the event that you have active life insurance policies, please reach out to us for a review. We are doing our best to cover these in meetings, but want to make sure we do not have any unforeseen lapses in coverage. As a newly independent firm, we do not have the same type of viewing/payment capabilities as before. Please reach out with any questions.
Social Security Fairness Act – Signed 01/05/2025, the act eliminates provisions that previously reduced Social Security benefits for persons receiving pensions from work not covered by Social Security. Examples of these individuals include teachers, fire fighters, police officers, and public workers. If you fall into this category, it may be prudent file for benefits that you are now eligible to receive. Please reach out with any questions.
Google Reviews – Please consider using this link to give us a review on Google. These reviews help us become more visible, credible, and to find and serve more clients like you.
PWA Portal – Here is a link to your PWA portal login. This portal is your one-stop shop to view your accounts, balances, and quarterly statements. If you are unable to login, please let us know and we will get you set up.
Thank you, as always, for being our clients. It is a privilege to serve you.
On behalf of your PWA team,
Brock Hedgecoke, CFP®
Financial Advisor
June 2025 | Spring’s Volatility, Summer’s Rebound
Summer is around the corner and the stock market has made its way back from a volatile response to the ever-changing tariff announcements. If you have been reading our newsletter, I doubt much of this spring’s volatility came as a surprise to you. However, despite anything we wrote or said, I truly owe each of you a “job well done” for remaining steadfast and faithful to your long-term investment plans. More explanation on this below.
Market Update
With regard to short-term current events and the unshakeable truth that we, in fact, don’t know the future, I confess it’s rarely safe to say we are “out of the woods.” However, permit me to share two numbers that I hope reinforce the commendation listed above.
The S&P 500 started off the year with a market close (01/02/2025) of shy of 5,869. As of market close 06/05/2025, the S&P 500 was 5,939.
The only investors who permanently suffered from the price declines of this spring were those who sold their equities in search of a safer alternative. In all likelihood they failed to enter back into the market in time to catch the rise, and permanently locked in losses. Luckily, this was not the story for our clients, and I hope a point of encouragement for the next market sell off, whatever that may be.
Now regarding specifics, inflation seems to be moderating, growth from AI does not seem to be a short-term trend, productivity is strong, there is solid consumer spending, and there (as we’ve grown accustomed) remains uncertainty on tariffs as the 90-day pause approaches a close. It seems to me the best course of action remains to be a well-diversified portfolio tailored to your time horizon and financial goals.
Now, should there be any of you inclined to believe (though I doubt it) that the reign of stocks is over, I would kindly refer you to this month’s “Client’s Corner.” This is written by one of our favorite authors, Nick Murray, and is one part of his monthly newsletter that we are allowed to disseminate to clients. Given his outstanding ability to communicate, I’ll let him do the talking. Please find the article attached to the email following.
Friendly Reminders
Life Insurance – In the event that you have active life insurance policies, please reach out to us for a review. We are doing our best to cover these in meetings, but want to make sure we do not have any unforeseen lapses in coverage. As a newly independent firm, we do not have the same type of viewing/payment capabilities as before. Please reach out with any questions.
Social Security Fairness Act – Signed 01/05/2025, the act eliminates provisions that previously reduced Social Security benefits for persons receiving pensions from work not covered by Social Security. Examples of these individuals include teachers, fire fighters, police officers, and public workers. If you fall into this category, it may be prudent file for benefits that you are now eligible to receive. Please reach out with any questions.
Google Review – Please consider using this link to give us a Google review. These reviews help us become more visible, credible, and to find and serve more clients like you.
PWA Portal – Here is a link to your PWA portal login. This portal is your one-stop shop to view your accounts, balances, and quarterly statements. If you are unable to login, please let us know and we will get you set up.
We’re always here to answer your questions or address your concerns. It is a privilege to serve you.
On behalf of your PWA team,
Brock Hedgecoke, CFP®
Financial Advisor
May 2025 | Tariffs, Patience, and Long-Run Returns
Last month I cited low consumer sentiment readings and their (historically speaking) indication of future positive returns. As of Tuesday (May 6, 2025), the S&P 500 was on its longest win streak since 2004.
Why am I sharing this? To communicate a small, but very recent, example of the payoff for exercising patience and long-term orientation during times of economic uncertainty. It truly is a pleasure to work with this group of clients.
Market Update
Though the market has rebounded from its intraday trough of 4,835 on April 7th, there is still much uncertainty amid tariffs. The Fed has decided to hold interest rates steady while they wait to see how policy unfolds. One thing seems obvious – an increase in tariffs will most likely not fare well for the economy.
That said, we are long-term investors. I’d be remiss not to share from two individuals much more adept at explaining this situation.
This first quote is from Jeremy Siegel’s (Senior Economist to WisdomTree and Emeritus Professor of Finance at The Wharton School of the University of Pennsylvania) weekly commentary from 04/15/2025:
“A reminder for the long-term orientation. Even if tariffs stay on for three more years, their net present impact on long-term earnings is relatively small. A 20x PE implies that only 10% of a stock’s value comes from earnings over the next two years. Short-term damage—even significant—does not erase long-run returns.”
Next, as those of you who read our newsletter know, we send out a monthly piece written by one of our favorite authors, Nick Murray. This piece is called “Client’s Corner.” It is one part of his monthly newsletter (which we pay for) that we are allowed to disseminate to clients. I am nothing less than honored to say that Nick chose the same data point to cover that I myself was planning to share with each of you. Given his outstanding ability to communicate, I’ll let him do that talking.
Friendly Reminders
Estate Planning – For many of our client’s we have had discussions about estate planning. We might have recommended the creation of an estate plan or simply a routine update due to changed circumstances. Regardless, as the dust settles after tax season, it might be a good time to review your own documents. Attached to the email is a list of questions to consider as you do so.
Google Review – Please consider using this link to give us a Google review. These reviews help us become more visible, credible, and to find and serve more clients like you.
PWA Portal – Here is a link to your PWA portal login. This portal is your one-stop shop to view your accounts, balances, and quarterly statements. If you are unable to login, please let us know and we will get you set up.
We’re always here to answer your questions or address your concerns. It is a privilege to serve you.
On behalf of your PWA team,
Brock Hedgecoke, CFP®
Financial Advisor
April 2025 | The Market is Down, Posed for a Rebound
The last few trading days have seen some of the biggest single-day declines since the onset of COVID in 2020, and the uncertainty does not seem to be subsiding. That said, in this newsletter you will find practical guidance, and above all, encouragement to stay the course.
I would be remiss not to mention how impressed I have been by our clients’ response to the recent volatility in the market. Keep up the good work.
Market Update
In last month’s newsletter I shared,
“Given the ever-present uncertainty of the future (in today’s case: looming tariff wars, continued investment in AI, sticky inflation, and so on) I do not know what the market has in store. What I do know, is at some point (there is virtually no way to know when) the value of mainstream equities will decline.”
Well, here we are. As of market close April 7th, the S&P 500 is down about 14%.
Now, before I give you the incredibly encouraging historical data of stock returns following stock market declines, permit me to share that moments like these are:
unavoidably part of the mainstream equity owner’s investing experience. Since the stock market bottom of the Great Financial Crisis on March 9, 2009, there have been 30 corrections of more than 5%.
quite opportunistic for many investors. (Please read the “Friendly Reminders” below for a brief list.)
Now for the data.
Let’s talk consumer sentiment. J.P Morgan has a great chart produced in their “Guide to the Markets” called “Consumer confidence and the stock market.” It outlines the average 12-month return of the S&P 500 after the 9 biggest sentiment “troughs” since the 70s (to note, we are near a current trough given March ended at 57, with 50 being the lowest of these 9 troughs). The average return?
24%.
Historically speaking, when people are the most worried, the market responds most positively.
I do not know how long this volatility will last. In the meantime, take heart – we have planned for this. Thank you for your continued trust.
As always, we will be forwarding this month’s “Client’s Corner,” by Nick Murray. I hope you enjoy.
Friendly Reminders
Tax Loss Harvesting – Market declines are great opportunities to “harvest losses” by selling holdings at a loss, and purchasing similar holdings that maintain portfolio exposure and diversification. Doing so provides tax benefits, while keeping you invested and diversified. If you have non-qualified accounts with us, please keep in mind you might be receiving trade confirmations as we harvest losses in your account.
Investing Additional Cash – Consider the recent market drawdown as an opportunity to invest at discounted prices. If you have any cash sitting around, it might be a good time to put it to work.
401(k) Contributions – Consider increasing your 401(k) contributions while prices are cheaper as the investments within your retirement plan are also priced cheaper than they were at market highs.
Roth Conversions – If you have a traditional IRA or SEP IRA, consider completing a Roth conversion. Converting during a market decline means you will pay less tax on the conversion while remaining invested. Then, as the market recovers, the growth of the converted amount is tax free. Attached is a graphic that can help determine if a Roth conversion is right for you.
Budget/Cash Flow – While the overall economy and its respective influence on mainstream equity prices is out of our control, there are things we can do. Now is a great time to look at your budget and see if there are places to be trimmed. Renegotiating phone/internet contracts, cancelling unused monthly subscriptions, or being thoughtful on food spending are a few ways to cut back. The idea is to align your spending with your goals and values.
Social Security Fairness Act – Signed 01/05/2025, the act eliminates provisions that previously reduced Social Security benefits for persons receiving pensions from work not covered by Social Security. Examples of these individuals include teachers, fire fighters, police officers, and public workers. Attached is a graphic that gives further guidance.
Roth and Traditional IRA Contributions – The deadline to contribute to a Traditional or Roth IRA for 2024 is April 15, 2025. Each individual may contribute a max of $7,000 with an additional $1,000 for those over the age of 50.
Tax Documents – As I mentioned, the majority of tax documents from Schwab should be posted. However, if you contributed to an IRA, SEP-IRA, or SIMPLE for 2024, you will need to let your CPA know the exact amount. Tax documents reporting these contributions (Form 5498) will not officially come out until May (given that contributions are allowed up until the April 15th deadline). If you did not take a withdrawal from your retirement account you will not receive a 1099. Please give us a call if you have any questions.
PWA Portal – Here is a link to your PWA portal login. This portal is your one stop shop to view your accounts, balances, and quarterly statements. If you are unable to login, please let us know and we will get you set up.
On behalf of your PWA team,
Brock Hedgecoke, CFP®
Financial Advisor
March 2025 | The Decline of Mainstream Equities
We are just over a month away from the tax filing deadline, April 15th.
We are just over a month away from the tax filing deadline, April 15th. The vast majority of tax documents from Schwab will have been sent at this point. However, if you contributed to a retirement account (IRA, SEP-IRA, SIMPLE, etc.) for 2024, you will have to notify your CPA of the amount. More on this below.
Market Update
For those of you that have been watching (and I applaud those who have refrained), I don’t doubt you’ve noticed that the market has been bumpier than we’ve grown accustomed.
Given the ever-present uncertainty of the future (in today’s case: looming tariff wars, continued investment in AI, sticky inflation, and so on) I do not know what the market has in store. What I do know, is at some point (there is virtually no way to know when) the value of mainstream equities will decline. With this in mind, a few friendly reminders:
The average intra-year decline (biggest market drop peak to trough in a given year) since 1980, is 14.1%. Year to date, the largest drop has been 5%. Per JPMorgan’s “Guide to the Markets, as of February 28, 2025.
Yet, the S&P 500 has averaged an annual return of 12% over the same time period, with dividends reinvested.
Downturns are frequent, should be expected, and are part and parcel of the equity investor’s experience. These downturns, for clients in the accumulation phase (i.e. the “saving” phase), are opportunities to buy shares of high-quality companies at cheaper prices. For clients in the distribution phase (i.e. retirement), we have planned for this. Your allocation, along with our strategy to fund your monthly withdrawals, is built to withstand sustained periods of market decline. We are in this for the long run.
For further insight and guidance, I recommend reading this month’s “Client’s Corner,” by Nick Murray. He is one of our favorite financial experts, and his article will be sent to you following this email. This month, he has a provocative challenge for all clients. I hope you enjoy.
Friendly Reminders
Roth and Traditional IRA Contributions – The deadline to contribute to a Traditional or Roth IRA for 2024 is April 15, 2025. Each individual may contribute a max of $7,000 with an additional $1,000 for those over the age of 50.
Tax Documents – As I mentioned, the majority of tax documents from Schwab should be posted. However, if you contributed to an IRA, SEP-IRA, or SIMPLE for 2024, you will need to let you CPA know the exact amount. Tax documents reporting these contributions (Form 5498) will not officially come out until May (given that contributions are allowed up until the April 15th deadline). If you did not take a withdrawal from your retirement account you will not receive a 1099. Please give us a call if you have any questions.
PWA Portal – Here is a link to your PWA portal login. This portal is your one stop shop to view your accounts, balances, and quarterly statements. If you are unable to login, please let us know and we will get you set up.
We’re always here to answer your questions or address your concerns. It is a privilege to serve you.
On behalf of your PWA team,
Brock Hedgecoke, CFP®
February 2025 | The Importance of Rebalancing
As we approach the tax filing deadline, I’ve attached two helpful checklists, one regarding necessary tax filing documents, and the other regarding RMDs.
As we approach the tax filing deadline, I’ve attached two helpful checklists, one regarding necessary tax filing documents, and the other regarding RMDs.
If you have not yet filed, you might consider giving all necessary documents to your CPA and asking them to wait before officially filing. It is not uncommon for firms to release amended tax documents towards the end of February.
Market Update
As I watch and read of the market environment, through all of the changes in policies, developments with AI, and the Fed’s continued eye on inflation, I am reminded of the importance of rebalancing. At its core, rebalancing is the discipline of trimming back the portions of the portfolio that have outperformed (portions whose intrinsic value has in turn decreased, due to the inflated price) and using those proceeds to be invested in the portions of the portfolio that have underperformed (whose intrinsic value has now increased, given the cheaper buying price).
In this manner, we maintain diversification, stay properly balanced in risk, and lock in the gains of our winners.
Given that we cannot predict the future, history is our only guide. With history as our guide, we maintain the belief that the most effective manner to achieve our client’s long-term goals (and outpace the lagging effect of inflation and taxes), is to remain invested in a diversified stock portfolio, through the ups and downs, over the life of the financial plan.
Please note: We will be sending you a separate email with a PDF attached, called “Client’s Corner.” These pieces are written by Nick Murray, one of our favorite financial experts. I highly recommending reading this month’s article.
Friendly Reminders
Anti-Fraud – As a friendly reminder, if you receive any messages (text, email, etc.) prompting approval of any transaction you do not recognize, call us immediately. Please refrain from clicking any links associated with a transaction of which you are unaware! These are simple practices to help protect you and the firm, as there are bad actors looking to exploit technology.
Roth and Traditional IRA Contributions – The deadline to contribute to a Traditional or Roth IRA for 2024 is April 15, 2025. Each individual may contribute a max of $7,000 with an additional $1,000 for those over the age of 50.
PWA Portal – Click here to access your PWA portal login. This portal is your one stop shop to view your accounts, balances, and quarterly statements. If you are unable to login, please let us know and we will get you set up.
We’re always here to answer your questions or address your concerns. It is a privilege to serve you.
On behalf of your PWA team,
Brock Hedgecoke, CFP®
Financial Advisor
January 2025 | The Start of the Year
Happy New Year from Perennial Wealth Advisors! In our first full year as Perennial Wealth Advisors, our goal is to keep improving your investment/financial planning experience.
Happy New Year from Perennial Wealth Advisors!
Start of the Year
In our first full year as Perennial Wealth Advisors, our goal is to keep improving your investment/financial planning experience. Each month we will produce newsletters that offer encouragement for your investment journey, friendly reminders, and financial planning questions to help you stay on track. As we begin 2025, I’ve attached a “Start of the Year” guide that includes pertinent questions regarding:
Personal Goals
Cash Flow
Asset and Debt
Insurance
Taxes
Estate Planning
Please take a look to see which questions pertain to your situation and consider discussing with us in your next meeting. Ideally, this will help us to be proactive and prepared for any upcoming life changes.
Market Update
We are happy to report a very successful year in our shared pursuit of your most cherished lifetime financial goals. Our plan and our portfolio continue to be driven by those goals, rather than by prognostication around the economy or the markets. This will continue to be the case in the coming year, and beyond. I begin by restating some of our core beliefs, and proceed to a few comments about the current economic/financial backdrop.
General Principles:
We are long-term, goal-focused, plan-driven investors. Our core investment policy is to invest in broadly diversified portfolios of high-quality businesses.
We believe that the economy can’t be consistently forecast, nor the markets consistently timed. We conclude from this that the only practical way to capture the premium long-term return of equities is to ride out their frequent, sometimes significant but historically always temporary declines.
We do not react to economic or market events. As long as your long-term goals remain unchanged, so will our plan for the achievement of those goals.
Current Commentary:
Powered largely by a very few of the very largest technology stocks, the past year was another exceptionally good one for the diversified equity investor. As the year came to a close, the market gave evidence of broadening out to some extent. That would certainly be welcome.
The presidential election result was at least clear and uncontested. The economic backdrop continued favorable. The job market remained fairly strong, though showing signs of cooling due to relatively stringent monetary policy. Corporate earnings and dividends reached record highs, and are forecast to increase further in 2025.
If anything, late in the year many investors feared that the equity market had gotten ahead of itself, as evidenced by somewhat stretched valuations. Since valuations have never proven to be a reliable timing tool—any more than anything else has—we encouraged clients to just keep on keeping on with their plan.
Inflation has not gone away. Nor, as Fed Chair Powell observed in mid-December, is it going away. A frothy market took this statement rather badly, as indeed it should have, in our opinion.
And while the fiscal condition of the United States remains undeniably appalling, the consumer is (perhaps surprisingly) in very good shape. The household debt service ratio (debt payments as a percentage of disposable personal income), at 11.3% in the fourth quarter of 2024*, is near 40-year lows.
It doesn’t seem reasonable to suppose that the broad equity market can go on indefinitely compounding at the nearly 16% it’s been producing since the March 2009 Global Financial Crisis lows. Nor do we need it to. Our long-term plans assume the hundred-year return of the S&P 500 at around ten percent.
Please note: We will be sending you a separate email with a PDF attached, called “Client’s Corner.” These pieces are written by Nick Murray, one of our favorite financial experts. I highly recommending reading this month’s article.
*from page 18 of JP Morgan’s Jan. 2025 edition of “Guide to the Markets”
Friendly Reminders
PWA Portal – Here is a link to your PWA portal login. This portal is your one stop shop to view your accounts, balances, and quarterly statements. If you are unable to login, please let us know and we will get you set up.
We wish each of you a healthy, happy, and prosperous 2025. We’re always here to answer your questions or address your concerns. Thank you for being our clients. It is a privilege to serve you.
On behalf of your PWA team,
Brock Hedgecoke, CFP®
Financial Advisor
December 2025 | First and Foremeost, Thank You
Merry Christmas from your team at Perennial Wealth Advisors!
To our valued clients,
Merry Christmas from your team at Perennial Wealth Advisors!
Thank You
First and foremost, thank you.
As each of you know, this year brought huge changes to our business. We moved away from our former broker-dealer model and started our own, independent Registered Investment Advisor (RIA) firm. We knew this change would not come easy, but we trusted it would lay the foundation for a better firm and an improved client experience. We could not have done it without your patience, trust, and commitment. Thank you for joining us.
Market Update
We will be sending you a separate email with a PDF attached, called “Client’s Corner.” These pieces are written by Nick Murray, one of our favorite financial experts. In my opinion, he understands the “big picture” of investing and wealth accumulation better than anyone I have read. I am often reminded and encouraged by his work that timing the market cannot be done consistently, and that the best long-term plan is one that pairs a well-diversified, stock portfolio with a client’s time frame and goals. I hope by reading you are equally encouraged.
Friendly Reminders
Required Minimum Distributions (RMDs) – RMDs are minimum amounts that must be withdrawn from retirement accounts each year (due by 12/31), beginning the year your reach age 72 (or age 73 if you reach age 72 after Dec. 31, 2022). You may also be required to take an RMD from an Inherited IRA. We have completed most RMDs for our clients, but if you think you have an account that requires an RMD that has not been satisfied, please give us a call.
Charitable Giving – One option to satisfy your RMD is by making a qualified charitable distribution (QCD) from your IRA. By donating funds from your IRA to a charity, using a QCD, neither you nor the charity will owe taxes on the withdrawal. Separately, if you itemize your taxes, consider a year-end gift to further increase your tax deduction.
On behalf of your PWA team,
Brock Hedgecoke, CFP®
Financial Advisor