Waypoints

Market Perspectives - Second Quarter 2017

Double, double toil and trouble,
Fire burn and caldron bubble.
William Shakespeare, from Macbeth

Is the stock market bubble getting ready to burst… again?

At our monthly Waypoint Investment Committee meetings, in addition to taking a good hard look at our portfolios, we also talk about what we all are seeing and hearing in the real world. “Where is the next bubble?” we keep asking ourselves. 

In the Spotlight: Beth and Jane on Power List

In the Spotlight: Beth and Jane on Power List

Beth Patterson and Jane Short were recently honored by Inside Business magazine as members of the “2017 IB Power List.” Inside Business, the weekly business journal of The Virginian-Pilot, describes this list as “individuals that occupy our region’s positions of power and use their personal power effectively.” Both Jane and Beth believe that with power comes responsibility and a call for service – to lend a hand to others. We are proud that this is the foundation of Waypoint’s culture – using our skills and experience to serve our community as well as to help clients achieve their goals and reflect their values.

For additional details about this award and a complete list of honorees, please go to https://www.pilotonline.com/inside-business/special-reports/power-issue/the-next-ib-power-list/article_c9df225e-737e-5e8b-baed-99bbd7682c72.html

In the Community: "Yes, and..." by Susanna Dellinger

In the Community: "Yes, and..." by Susanna Dellinger

Along with other members of the Hampton Roads Gift Planning Council, I recently participated in improv training at the Push Comedy Theater in Norfolk. I currently serve on the board of the Hampton Roads Gift Planning Council, which usually brings in speakers every other month to discuss current topics and trends relevant to our local philanthropic community. This month, instead of hosting a regular workshop, our council met at Push Comedy Theater to get lessons from the improv experts. We played several improv games and learned valuable techniques like “Yes, and…” where we were encouraged to build upon what others were saying rather than succumb to our natural tendency to say “yes, but…” and qualify their statements. We all learned to be better listeners and communicators – and had a lot of laughs in the process! 

Learn more about Push Comedy Theater and the Hampton Roads Gift Planning Council

Did you know?

Did you know?

Did you know that summer is a great time to review your charitable giving for the year? Take the time to ensure that your annual giving is aligned with your values and avoid the year end rush. Additionally, take advantage of current high market valuations by making your gifts now.

For more tips on philanthropy, click on the blue button to the right to expand.

Philanthropy and the Fiscal Year

June 30 marks the halfway point of the calendar year. It also marks the end of the fiscal year for many non-profit organizations. (You may have witnessed a recent flurry of solicitations from your favorite charities scrambling to end their year with a balanced budget!).

From time-to-time it is a good idea to make sure our financial resources are in alignment with our values. The slower summer months are a good time for us to evaluate our own personal philanthropy strategy. Here are some tips!

Give to organizations that you love and that make our community stronger. There are many reasons that we may give to charities:

  • Mission – the work of the organization aligns with our own personal values.
  • Board or Volunteer Service – we have been involved and are committed to the organization’s success.
  • Relationships – we have a friend or family member who is involved with the organization or a member of the non-profit staff has fostered a bond with us.
  • Civic responsibility – we recognize that there are certain organizations whose existence enhance the economic vitality of our community and indirectly effect the quality of our lives (this is especially true of Arts organizations).
  • Tax advantages – we want to effectively leverage charitable gifts to help reduce our tax liability.
  • Family tradition – we honor organizations that have been supported by our families for generations.

Do your personal due diligence. There is much discussion these days about non-profit accountability and sustainability. If this is important to you, here are some resources that you can access to provide information with regard to philanthropy trends and financial status of individual organizations:

Consider making your annual gift sooner rather than later. Given that many charities have to start from scratch each July 1st, getting annual gifts in the door early helps them to better manage cash and start the fiscal year off strongly. Also, by making your gifts earlier, you can avoid the year-end crunch when things are hectic due to the holidays. Finally, considering that the stock market has been on a strong upward trend, this may be as good a time as any to make charitable gifts, especially if your means of giving is with appreciated securities. 

Review the tools of philanthropy. You should be having regular conversations with your professional advisers (wealth management advisor, estate attorney, accountant) with regard to the most effective and efficient way to accomplish your philanthropic goals. Some things to discuss and consider:

  • Using appreciated stock for your charitable gifts
  • Using your credit card (mileage points!) to make monthly “sustainer” gifts
  • Using your IRA Required Minimum Distribution for charitable gift giving
  • Taking advantage of NAP credits if available
  • Establishing and managing a donor advised fund or a private family foundation

At Waypoint, we value philanthropy and encourage and applaud generosity. If you have any questions about any of the items above or if you would like to confidentially discuss your personal philanthropic ideas, please contact our dedicated philanthropic specialist, Susanna Adams Dellinger, at 757-623-1600.

Market Perspectives - First Quarter 2017

The Active vs. Passive Choice - Some Perspectives

Confidence was high as reflected in both the consumer and purchasing manager surveys this past quarter and investors bet on continued growth in the US. Growth stocks outperformed value stocks 8.6% (Russell 3000 Growth TR) versus 3% (Russell 3000 Value TR). Investors did hedge their bet somewhat by favoring the generally less risky large cap stocks which returned 6% (Russell 1000 TR) over small cap stocks at 2.8% (Russell 2000 TR). In a further show of confidence, cyclical stocks outperformed defensive stocks 7.6% (MSCI Cyclical Sectors Index) versus 3.8% (MSCI Defensive Sectors Index).

In The Spotlight: Beth Patterson honored as Woman of Distinction

In The Spotlight: Beth Patterson honored as Woman of Distinction

On April 27, 2017, Beth Patterson was honored by the YWCA South Hampton Roads as one of its 2017 Women of Distinction. Each year, the YWCA recognizes several local women who exemplify the values of the YWCA by exhibiting “a dedication to [their] mission of eliminating racism and empowering women promoting peace, justice, dignity, and freedom for all.” 

Beth was selected as this year’s honoree in the Finance category based on her “professional leadership, volunteer efforts and civic involvement.” Beth embodies the spirit of the YWCA through her entrepreneurship in creating a successful woman-owned business. She champions and empowers all the women (and men!) on her team both professionally and personally, and has served as a mentor to many more. At Waypoint Advisors, she has created a culture of volunteerism as she encourages all members of the team to give back to causes in the community for which they care deeply. She leads by example, dedicating much of her time to educational causes, making sure that education is accessible to everyone regardless of their race, their financial means or their learning differences. 

Please help us in congratulating Beth on this prestigious award. We cannot think of a more deserving recipient! 

Did you know?

Did you know that many people fail to make estate plans? And of those who do make plans, many fail to title accounts and assets properly, thus undermining the effectiveness of their carefully laid out plans. It is imperative to periodically review your estate plans, the titling of your accounts, and your beneficiary designations to ensure that your plans truly reflect your wishes. Working together with you and your attorney, Waypoint Advisors can help you with this process.

Market Perspectives - Fourth Quarter 2016

The January Effect

The Ancient Romans dedicated the first month of each new year to Janus, the god of beginnings, transitions and endings. Janus was usually pictured as having two faces since it was his job to look at both the past and the future at the same time. While we have long since abandoned belief in a bevy of mythical beings, this tendency to use January as a time of simultaneous reflection and contemplation continues today. 

In The Spotlight: Susanna Dellinger Joins United Way Board

In The Spotlight: Susanna Dellinger Joins United Way Board

Having served as a volunteer for the United Way of South Hampton Roads since 2006, I was recently elected to the Board of Directors. I am really excited about the opportunity to serve the organization in a different way.

I initially began volunteering for the United Way shortly after I returned to the Hampton Roads area. I first served as a panel member for the community funding process that helps to determine the amount of money local non-profits receive for programs that support the neediest and most vulnerable families in our community. Along with other volunteers, I reviewed agencies’ applications for funding and conducted site visits. We focused on three strategic impact areas – education, health, and financial stability. I eventually rose to serve as Chair of the Health Panel, and then Vice Chair of the Community Investments Committee which oversees the funding process and makes recommendations to the board. This fiscal year, we allocated over $4.9 million in funding to local charities!

It has been really rewarding to be a part of the process as it has evolved over time. We’ve made a lot of changes that help us and the agencies we support think differently and act more collaboratively to make a significant positive impact on our community. I am really proud of the work that we do, and am honored to be able to serve the United Way in a leadership role moving forward. 

I initially began volunteering for the United Way shortly after I returned to the Hampton Roads area. I first served as a panel member for the community funding process that helps to determine the amount of money local non-profits receive for programs that support the neediest and most vulnerable families in our community. Along with other volunteers, I reviewed agencies’ applications for funding and conducted site visits. We focused on three strategic impact areas – education, health, and financial stability. I eventually rose to serve as Chair of the Health Panel, and then Vice Chair of the Community Investments Committee which oversees the funding process and makes recommendations to the board. This fiscal year, we allocated over $4.9 million in funding to local charities!

 

It has been really rewarding to be a part of the process as it has evolved over time. We’ve made a lot of changes that help us and the agencies we support think differently and act more collaboratively to make a significant positive impact on our community. I am really proud of the work that we do, and am honored to be able to serve the United Way in a leadership role moving forward. 

Did you know?

Did you know that you can use your Roth IRA assets to pay for qualified education expenses? Whereas the primary purpose of the Roth IRA is saving for retirement, it is possible to take an early distribution from your Roth IRA (prior to age 59½) without having to pay the 10% penalty tax (subject to certain provisions). Call us to learn more. 

Market Perspectives - Third Quarter 2016

All Along the Watchtower

“There must be some kind of way out of here,” Nobel Laureate Bob Dylan’s iconic ballad begins, perfectly matching the seeming malaise that has settled over our country in these past few months. “There’s too much confusion,” the song continues, “I can’t get no relief.”

In The Spotlight: Waypoint Welcomes Jane Short

In The Spotlight: Waypoint Welcomes Jane Short

After 20 years working for large financial institutions, I am really enjoying the switch to a small, independent firm. The team here at Waypoint is wonderful and they have welcomed me with open arms.

I have been on both the brokerage and the private bank side of the wealth management world as an advisor to generations of wealthy families. I love what I do… helping people understand that wealth is a blessing and a responsibility. One of the great things about a firm like Waypoint is that we value intellectual curiosity and make it a priority to understand what is driving the decisions that families find challenging. We help them put the pieces of the puzzle together – investment management being just one aspect of a broader spectrum of issues. I especially like bringing younger generations into the loop with their parents and grandparents. Sharing and passing on values – especially with regard to philanthropy -- is often very important to families and I love helping to facilitate the conversation.

When I came into the financial industry, I was only the second female advisor in the Norfolk office of a large traditional brokerage firm. My first client was a widow who had never handled money. I built my initial business by providing learning opportunities to women who wanted to know more about investing. As my business grew, I found that often times my clients’ husbands also wanted to become my clients. Very gratifying! I am thrilled to now be part of a business owned by a woman.

I wasn’t always in the financial industry. My first job in high school was working after school at the corner pharmacy stocking the cosmetic counter. In college I worked several jobs on campus and in the summer to help pay my college bills. My first job out of school was working for a large hotel company helping to run the hotel gift shops which led to a 10 year career in the retail and fashion industry. One of my favorite jobs was working as a Sales Coordinator for Ralph Lauren. I learned then that one of the most important relationships to foster was with the guy on the loading dock who unloaded merchandise off the trucks!

When we are not working, my husband, Win, and I split our time between our home in the historic Freemason area of Norfolk, and our cute beach cottage at the North End of Virginia Beach. When we met, Win was a widower with two beautiful daughters. Not having had children of my own, coming into this wonderful family was a true blessing. We now have four granddaughters who call me “JJ” and whom I love to spoil. Come out to breakfast with JJ and you, too, can have chocolate chip waffles with vanilla ice cream!

Waypoint in the Community

Waypoint in the Community

Annie, who just joined our team in May, recently attended a charity gala, Night for the Fight, held by the Roc Solid Foundation. The foundation's main objective is to raise awareness and "build hope through play" for children battling pediatric cancer. Through one of their programs and sponsors, a child diagnosed with cancer, along with his or her family, is picked up and taken out for a fun-filled day and returns home to find a brand new custom play set which is built by volunteers. Not only is the pure joy and excitement felt by the child and everyone involved price-less, but it gives the child the ability to forget about their illness, even if it's only for a little while, and just play. For more information on this amazing foundation and how to get involved in their programs, you can visit their website at www.rocsolidfoundation.org.

Market Perspectives - Second Quarter 2016

The Challenge Ahead – “Lower for Longer”

While Brexit captured headlines during the quarter, by the end, it was mostly a non-event from an overall market perspective. Brexit’s impact is expected to be largely contained in the UK, but it creates more uncertainty for Europe in general. It also means that there is a greater likelihood that we will experience “Lower for Longer.” 

In The Spotlight: Get to Know W. Craig Reilly

In The Spotlight: Get to Know W. Craig Reilly

I started my banking career in 1998 as a credit analyst for a local regional bank. My experience in that position provided me with a unique opportunity to not only develop a strong understanding of balance sheets and income statements, but it also enabled me to cultivate an insight into market trend analysis and it introduced me to a diverse collection of commercial and industrial companies in the region. Shortly thereafter, I was promoted to a small business banker and focused on lending and building and sustaining relationships. 

It was a natural fit for me, and despite being young and fairly green at that time, I developed a strong work ethic that quickly outpaced any lack of experience. In almost no time, I realized that I thoroughly enjoyed working directly with clients to help them achieve their financial goals. Throughout my career, I have been very fortunate to have mentors who not only have helped formulate my business principles, but have also made personal investments in assisting with my success. I have relied upon those lessons to help establish personal and business relationships over my 16 year career in the financial industry. I look forward to continually fostering my passion of working closely with clients to achieve and maintain financial success.

On the personal side, my family has been tied to Hampton Roads since 1786 and I follow in the footsteps of a long lineage of community involvement and business investment to Hampton Roads. As a life-long resident, I attended Maury High School and graduated from Hampden Sydney College in 1997 before returning to begin a banking career. I currently live in the Algonquin Park neighborhood in Norfolk with my wife, Cart, and our two young sons, Barton and Simmons. With two children under the age of two, we now find less time to do some of our favorite things such as traveling and finding hidden food gems, but we now have exceptionally rewarding family time, even if it includes midnight wake-up calls and prayers for a full night’s rest. 

Did you know?

Did you know that NAP (Neighborhood Assistance Program) tax credits can make your charitable giving even more powerful by reducing your Virginia state tax by as much as 65% of the amount of your gift to a qualifying organization? In addition to the state tax credit, you will receive a federal and state tax deduction and, if you use appreciated securities to make your gift, you will also avoid the tax on capital gains. 

The list of qualifying organizations for Virginia NAP credits in social services and education has been released. Don’t wait until the year-end rush to make your gifts and receive your tax credits. You could lose out as the tax credits have become very popular and many qualified charities run out. So if you want to make a difference in the community, all while saving on taxes, please call us. We can help!

Market Perspectives - First Quarter 2016

Yo-Yo Market or Yo-Yo Ma

If you found yourself biting your finger nails, waking up in the middle of the night or fidgeting this past quarter you would not be alone. The markets were unnerving. Volatility is back! Like a yo-yo, the S&P 500 went down 9% early in the quarter then up 13%, ending the quarter +2%. 

In the Spotlight: John Clunan studying for CFA exam

In the Spotlight: John Clunan studying for CFA exam

Of all the abbreviations you might see in the financial services industry, CFA represents the most challenging designation to achieve. It takes four years of professional investment management experience and successful completion of three exams in order to be eligible. The level one CFA exam, which John has already passed, has a 10 year average pass rate of 39%! So, why would John dedicate himself to such a rigorous endeavor? Waypoint Advisors holds itself to high standards and John wants to ensure that he can do the best job for clients. We wish him good luck as he sneaks in his early morning study time each day.

Waypoint in the Community

Waypoint in the Community

Beth Patterson serves on the Advisory Board for Horizons Hampton Roads, a six-week summer educational enrichment program for low-income K-8th grade public school students in our community. Horizons believe in the potential of every child. All children thrive in high quality, enriching environments, but too many fail to get the start in life they need to fulfill their potential. Research shows that students fall behind in their academics every summer, and those who fall two or more grade levels behind, never catch up. Horizons Hampton Roads students make significant measureable gains in both reading and math each summer, closing the opportunity gap and putting them on a path to success in school and in life. For more information, please visit www.horizonshamptonroads.org.

Did you know?

If you are travelling abroad, it is a good idea to check your health insurance coverage ahead of time. If Medicare is your primary insurance, you are not covered for health care overseas without a supplemental policy, so read your policy carefully. “Travel Policies” are available for purchase, but you will be limited in your choice if you do not purchase the insurance within 30 days of the first booking of your trip. A separate travel policy can fill in gaps and is often bundled with trip interruption and cancellation insurance. It can be purchased directly from suppliers or through travel agents and tour companies. Some policies provide ongoing coverage for individuals who regularly travel abroad.