Financial Planner

Independent Investment Advisors Receives 2022 Best of Portland Award

Financial Planner · Aug 1, 2022 ·

PORTLAND July 22, 2022 — Independent Investment Advisors has been selected for the 2022 Best of Portland Award in the Financial Planner category by the Portland Award Program.

Press Release

FOR IMMEDIATE RELEASE

Independent Investment Advisors Receives 2022 Best of Portland Award

Portland Award Program Honors the Achievement

PORTLAND July 22, 2022 — Independent Investment Advisors has been selected for the 2022 Best of Portland Award in the Financial Planner category by the Portland Award Program.

Each year, the Portland Award Program identifies companies that we believe have achieved exceptional marketing success in their local community and business category. These are local companies that enhance the positive image of small business through service to their customers and our community. These exceptional companies help make the Portland area a great place to live, work and play.

Various sources of information were gathered and analyzed to choose the winners in each category. The 2022 Portland Award Program focuses on quality, not quantity. Winners are determined based on the information gathered both internally by the Portland Award Program and data provided by third parties.

About Portland Award Program

The Portland Award Program is an annual awards program honoring the achievements and accomplishments of local businesses throughout the Portland area. Recognition is given to those companies that have shown the ability to use their best practices and implemented programs to generate competitive advantages and long-term value.

The Portland Award Program was established to recognize the best of local businesses in our community. Our organization works exclusively with local business owners, trade groups, professional associations and other business advertising and marketing groups. Our mission is to recognize the small business community’s contributions to the U.S. economy.

SOURCE: Portland Award Program

CONTACT:
Portland Award Program
Email: PublicRelations@awardsrecognition-businesses.com
URL: http://www.awardsrecognition-businesses.com

2022 Best of Portland Awards – Financial Planner

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Inflation is High and Persistent

Financial Planner · Nov 19, 2021 ·

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I hope you’re warm, well, and looking forward to some time with family and friends.

I wanted to drop you a quick email about a couple of things: infrastructure, inflation, and taxes.

And I’ve got a blue-sky question for you at the end. I’m really interested in hearing your thoughts.

President Biden just signed his much-debated bipartisan infrastructure deal.

What does that mean for the economy?

In the short term, some of the infrastructure funding will go immediately toward clearing port and transportation bottlenecks, so that might help improve supply chain issues.¹ Fingers crossed.

Though it could be years before you or I drive across a new bridge or highway funded by the bill, some of the maintenance funds could get used in spring construction blitzes.²

Since the job market is already tight, the economy isn’t likely to see an immediate surge in hiring due to infrastructure spending; however, multiple reports suggest ~800,000 new jobs could be added by 2030, though many of them will be temporary rather than long-term jobs.

Economists don’t think inflation is likely to increase due to the slow pace of spending, though the deal is projected to add $256 billion to the federal budget deficit over the next 10 years.

Bottom line, analysts project long-term benefits to the economy in lower business costs, increased labor force participation, and improved competitiveness.³

Inflation might not be as temporary as the Federal Reserve would like it to be.

Prices are up all over, and folks are understandably upset at paying more at the grocery store, gas station, and most everywhere else.

Many analysts hoped that data blips, supply chain clogs, and other pandemic-related disruptions were creating a temporary spike in inflation that would resolve soon.⁴

However, inflation has remained stubbornly high.

In the U.S., prices have increased 6.2% over the last 12 months — the biggest spike since November 1990. And you can see in the chart that some categories measured by the Consumer Price Index (CPI) have soared by much more.⁵

Since the Fed’s goal is to keep long-term inflation around 2% (and that’s what we’ve experienced this century), folks are concerned that “temporary” inflation is lingering longer than we want.

So, are prices going to continue to rise in 2022?

That’s likely, but how much, how fast, and for how long depend on a lot of global factors, including whether the Fed raises interest rates or takes other actions.

I’m keeping an eye on it.

Will your taxes go up in 2022?

That’s the question of the month on Capitol Hill as lawmakers debate the Build Back Better deal that could come with tax law changes.

We don’t know when (or if) the bill will be passed, but I’m watching closely and I’ll update you when we know what’s likely to happen.

Before I go, I’d like to wish you and yours a relaxing Thanksgiving with great food, great fun, and great memories.

Gratefully yours,

Goran Ognjenovic
Independent Investment Advisors
(971) 350-8068
www.independentadvisorsnw.com

P.S. It’s the time of year when the analysts start making predictions for 2022. What are your predictions for next year? What will be the big themes? Hit “reply” and let me know your thoughts!

¹https://www.washingtonpost.com/us-policy/2021/11/09/biden-supply-chain-ports/

² https://www.cnn.com/2021/11/09/politics/biden-infrastructure-bill-spending-economy/index.html

³https://www.moodysanalytics.com/-/media/article/2021/macroeconomic-consequences-of-the-infrastructure-investment-and-jobs-act-and-build-back-better-framework.pdf

⁴https://www.cnn.com/2021/11/13/economy/what-is-inflation-explainer/index.html

⁵https://www.bls.gov/news.release/cpi.nr0.htm

This information is not intended to be a substitute for specific individualized tax advice. We suggest that you discuss your specific situation with a qualified tax professional.

The following posts and commentary are to be used solely as educational tools and do not contain investment advice. Investment advice must be tailored to a particular investor’s specific needs. None of the information contained should be construed to be investment advice. Individuals wishing to tailor a plan to their own needs should seek the help of a Registered Investment Advisor.

There is a high degree of risk in investing and trading. Independent Investment Advisors assumes no responsibility. Principles of Independent Investment Advisors may, at times, maintain directly or indirectly, positions in securities or derivatives mentioned in these comments.

Gratitude practice?

Financial Planner · Nov 15, 2021 ·

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The last few weeks and months have had a lot of stress and uncertainty.

So, instead of writing to you about politics, or the economy, or the supply chain, I figured I’d change the script and write about something completely different.

Let’s talk about gratitude.

Is gratitude a practice for you?

In my role as a financial professional, I’ll tell you that it should be.

Why?

Let's talk about gratitude! — Gratitude reminds you of what really matters.

Gratitude reminds you of what really matters.

Not the lines at the store.

Not the traffic.

Not what happens on Capitol Hill or Wall Street.

But, what really, truly matters.

I am deeply, abundantly grateful today.

For the food in my fridge.

For the roof over my head.

For my health.

For my circle of family and friends who love me.

For my community that has given me a home.

For my amazing clients and partners who have given me a vocation.

I’m grateful for you.

Taking inventory of all my blessings gets me through the minor irritations.

It also helps me reset when something major happens.

Gratitude calms me when things get stressful and overwhelming.

What are you grateful for?

Has it changed over these crazy couple of years?

Do you have any rituals around gratitude?

Please write back and let me know. I’m excited to hear from you.

With gratitude,

Goran Ognjenovic
Independent Investment Advisors
(971) 350-8068
www.independentadvisorsnw.com

P.S. Can I ask you to do something with me? Would you send an email or text to three people you are grateful for? I bet you’ll make their day. I wrote to you, so now I’ve just got two more :). Hit “reply” and share any responses you get.

P.P.S. Want some insight into the relationship between gratitude and happiness? Here’s a great TED talk on the topic by Benedictine monk David Steindl-Rast. If you watch it, will you send me your thoughts?

7 Little Upgrades that Can Make Life Better in Big Ways

Financial Planner · Aug 19, 2021 ·

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What would make your life better?

A new house or car? A bigger paycheck or bank account?

It’s easy to want more when you think of being happier and living better.¹

And there’s little doubt that money can buy some (more) happiness.²

But the happiness we get from money is fundamentally limited.³

It leaves us wanting more, and it’s not enough on its own to enjoy a truly satisfying life.

The reality is a lot of the things that can make us happy and enrich our lives have nothing to do with money.⁴

And some of the things that may bring us the most joy could already be within our reach.⁴

What are they and how can they improve our lives?

Find out the answer with these simple life upgrades. They can transform the way you experience and enjoy life.

Read Our August Newsletter Here!

How Are You Lying to Yourself About Money?

Financial Planner · May 11, 2021 ·

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Do you think you are telling yourself the truth about money?

Read the full web text here.

We may think we know the facts about our finances. But our beliefs can often overshadow the facts.

Our wishes, hopes, and fears can tip the scales away from the truth. This makes it easier for us to believe what we want to about money — and it can happen without us even realizing it.1

The money lies we tell ourselves can change the way we think and act when it comes to finances.2

And since most of us rarely talk about money with our friends and family, the money lies we tell ourselves stick around. That can lock us into destructive beliefs and reinforce poor financial habits.

But no matter what money lies we tell ourselves, it is never too late to set the record straight.

Let us look at some of the most common money lies we all buy into at some point — and the truth behind them.

What Money Lies are You Buying into?

I’LL BE HAPPIER WHEN I HAVE $_____.

“With $___ (whatever amount you think is ideal), many of my problems would go away, and I’d be happier.”

Does this sound familiar?

Goals and target numbers for earnings, savings, and budgets are great. But if you make the mistake of thinking some magic number will flip a happiness switch for you, think again.

When we tell ourselves this money lie, we put too much emotion into a single number. And we may be setting ourselves up for disappointment — both if we never get $__, and if we do get $__ and realize it does not make us as happy as we thought it should.

The good news? Studies show that making progress toward our goals can be incredibly satisfying, regardless of whether we hit the target.3

2. I DESERVE IT, REGARDLESS OF WHETHER I CAN AFFORD IT.

“I work hard, and I don’t treat myself often.”

“I could kick the bucket tomorrow (YOLO).”

“I’m getting a great deal!”

These are just some of the rationalizations we use to convince ourselves that it is OK to buy something.

Whatever legs this money lie stands on, it is usually used to soothe the sting of expensive purchases — those that are not really essential — and perhaps items we know, deep down, we don’t really need.

3. I HAVE STRONG FINANCIAL WILLPOWER.

When faced with temptation, most of us lie to ourselves that we are great at resisting it. But when was the last time you chose not to buy something you really wanted? When was the last time you made an impulse buy?

The average American spends at least a couple of hundred dollars a month on impulse purchases.4

And we’re more likely to buy on impulse, and spend more, when we’re stressed or we’re looking for a new experience.5 That’s probably why impulse spending shot up about 18% in 2020.4

Plus, the 374 million of us who are shopping with credit cards are probably spending more on the regular than we realize.6 The average credit card shopper spends about 10% more with their cards than they would with cash.7 And that is not even counting the cost of interest if the balance isn’t paid in full.

4. I’LL SAVE MORE LATER.

Most folks focus on buying what we need and want now, and we tell ourselves we will start saving for the future later. If we save anything at all, it’s likely to be whatever we have left over.8

In fact, fewer than 1 in 6 of us are saving more than 15% of our income, and 1 in 5 are not saving any money.8

No matter the reason, when we tell ourselves this money lie and put off saving, we are prioritizing the present over the future.

That can catch up with us on a “rainy day” or whenever we do start thinking seriously about retiring. By that time, there can be a lot of heavy lifting to play “catch up” with our savings — or it may even be too late.

5. I HAVE PLENTY OF TIME TO PLAN FOR MY FINANCIAL FUTURE (& I DON’T NEED TO THINK ABOUT IT YET).

The future can seem far away when we are looking 10, 20, or even more years out. When we feel like we have a lot of room between now and then, it is easy to make excuses to not plan or save for it.

This money lie is an excuse for procrastination.9

It is the rationale we use when we have a hard time managing our negative feelings or uncertainties about our financial futures. And it makes us turn a blind eye to the years of interest that we lose out on when we do not plan.

Benjamin Franklin may have spoken best about the truth behind this money lie when he wisely said, “by failing to prepare, you are preparing to fail.”

6. THERE IS GOOD & BAD DEBT.

We tend to assign moral value to debt, thinking of mortgages and student loans as “good” debt, and considering credit card debt as “bad.”

This money lie gets us to think the wrong way about debt. All debt comes with some cost and it is critical to understand how every loan affects our current and future selves.

Instead of focusing on whether debt is “good” or “bad,” concentrate on the total cost of the interest over time (it is often higher than you think) and on deciding whether the loan is really helping you achieve your goals.

About half of us seem to already be on track with that thinking, saying that we expect to be out of debt within 1 to 5 years.10

7. WANTING MORE IS BAD.

While I think we can all agree that obsessive greed is wrong, it is not a bad thing to want more for you and your loved ones.

When we tell ourselves, we should not want more than we have, we agree to settle for less. And we may be tricking ourselves into thinking it is OK that we are not doing something (or enough) to improve our financial situation.

This money lie holds us back and can make it hard to improve our financial behaviors.

When we frame wanting more as a positive motivator, it can be easier to take the chances or do the work needed to get to that next financial level we may want.

Financial Lesson:

How to Stop Losing Out to Costly Money Lies

How many of these money lies sound like something you have told yourself?

At some point, I think we have all tricked ourselves with at least one of them.

Maybe we were rationalizing a decision, or we were trying to make ourselves feel better about what we wanted to do with our money. And we probably did not make the best financial choices as a result.

Here is the truth.

Honesty goes a long way with finances.

What we tell ourselves, and what we believe, about money influences our financial behaviors. If we are not telling ourselves the truth, our money lies won’t just drain our wallets. They can affect our financial awareness and inflate our confidence. And they get in the way of maintaining or growing wealth.11

When we recognize the money lies that we believe, we can reset our thinking, change our mindset, and start taking action. And that sets us up to make better choices and make more progress toward our big financial goals.

SOURCES & DISCLOSURES

1 – https://www.apa.org/monitor/2017/05/alternative-facts

2 – https://www.psychologytoday.com/files/attachments/34772/money-beliefs-and-financial-behaviors-development-the-klontz-money-script-inventory-jft-2011.pdf

3 – https://www.psychologytoday.com/us/blog/dont-delay/200806/goal-progress-and-happiness

4 – https://www.prnewswire.com/news-releases/americans-increased-impulse-spending-by-18-percent-during-the-covid-19-pandemic-according-to-new-survey-commissioned-by-slickdeals-301055530.html

5 – https://www.newneuromarketing.com/what-psychology-knows-about-impulse-buying-in-2020

6 – https://www.creditcards.com/credit-card-news/ownership-statistics/

7 – https://www.valuepenguin.com/credit-cards/credit-card-spending-studies

8 – https://www.cnbc.com/2019/03/14/heres-how-many-americans-are-not-saving-any-money-for-emergencies-or-retirement-at-all.html

9 – https://solvingprocrastination.com/why-people-procrastinate/

10 – https://www.statista.com/statistics/944961/personal-debt-duration-usa/

11 – https://www.pnas.org/content/108/Supplement_3/15655

Risk Disclosure: Investing involves risk including the potential loss of principal. No investment strategy can guarantee a profit or protect against loss in periods of declining values. Past performance does not guarantee future results.

This material is for information purposes only and is not intended as an offer or solicitation with respect to the purchase or sale of any security. The content is developed from sources believed to be providing accurate information; no warranty, expressed or implied, is made regarding accuracy, adequacy, completeness, legality, reliability or usefulness of any information. Consult your financial professional before making any investment decision. For illustrative use only.