Good Afternoon,

Lots of news this week with the January 6th hearings heating up in Washington D.C., a new golf league taking PGA players, and the Federal Reserve increasing interest rates. Feels like we are stuck real deep in the sand trap.

Last week, the United States House Select Committee started a series of five hearings investigating the January 6th attack on the United States Capitol. The first hearing was on June 9, 2022 and scheduled in the evening to be broadcasted on prime time television. Today marked the third day of public hearings with testimony from top legal advisors to former Vice President Mike Pence. The next hearing is set to take place on Tuesday, June 21, 2022.

The PGA Tour released a suspension letter in response to U.S. golf players that decided to join the new LIV Golf Series, a breakaway league backed by Saudi Arabia’s public investment fund (PIF). The new golf series is led by former PGA player, Greg Norman, and consists of eight events around the world. The tour began last Thursday in London with the first winner, Charl Schwartzel from South Africa. The PIF has pledged to award $250 million in total prize money, which is dramatically larger than the PGA. LIV has begun to sign former PGA players with massive buyouts and is starting to become a strong competitor of the PGA. Big name players that have made the change to LIV consist of Phil Mickelson, Dustin Johnson and Bryson DeChambeau. Players that chose the big pay day rather than staying loyal to the PGA is the main point of concern due to Saudi Arabia’s human rights violations. Some players might have to dig themselves out of the sand trap with the bad media that came with this decision. However, today the U.S. Open began, which is not a part of the PGA Tour, allowing all players from leagues to compete. It will be interesting to see how players interact with each other this weekend since this is the first major championship after LIV was established.

Markets continue to see volatility as recent inflation readings push central banks to raise interest rates faster than initially anticipated. As a result, instead of the anticipated increase of 0.50%, the Federal Reserve increased the federal funds rate by 0.75%. The federal funds rate now stands at a range of 1.50% to 1.75%. This was the largest rate increase since 1994. In May, Consumer Price Index (CPI) inflation accelerated to a new 40-year high of 8.6%, exceeding predictions for the month and the previous high of 8.5%. This showed that inflation has not yet peaked and that the Federal Reserve will need to take more aggressive action to rein in rising inflation. For the week, the S&P 500, Dow Jones Industrial Average, and Nasdaq are all down 8.69%, 7.21%, and 9.41%, respectively, as of today’s close.

If you have haven’t already done so, please register for our next webinar on “The 7 Simple Truths Every Plan Sponsor Should Know” with guest speaker, Jon Clark, AIF®, who is the Senior Vice President from PCS Retirement (PCS) on Wednesday, June 29th at 1pm. This webinar will be highly informative for small to medium-sized business owners who want to learn how to start or review their current defined contribution plans, such as a 401(k) or 403(b). Click here to register and learn more. Check out the recordings of our previous webinars to watch on our website here. Please share these links with your friends and family if you think they are topics they will find interesting.

In accordance with the market holiday schedule, Apriem Advisors will be closed on Monday, June 20, 2022, in observance of Juneteenth Day. This is a federal holiday in the United States that takes place on the 19th of June to commemorate the emancipation of enslaved Black Americans.

We are halfway through June and nearing quarter end. Please feel free to call our office if you would like to discuss any questions or concerns you may have regarding your portfolio or schedule a review. Please call our office at (888) 253-0288 or email Kellie Chou at Kellie@apriem.com to schedule a meeting with your Wealth Manager.

I wish all the fathers out there a wonderful Father’s Day weekend!

Warmest regards,

Rhonda Ducote, AIF®
President

Disclosures:

Advisory services offered by Apriem Advisors (“Apriem”), a registered investment adviser with the United States Securities and Exchange Commission in accordance with the Investment Advisers Act of 1940. Any reference to or use of the terms “registered investment adviser” or “registered,” does not imply that Apriem Advisors or any person associated with Apriem Advisors has achieved a certain level of skill or training. Apriem Advisors may only transact business or render personalized investment advice in those states and international jurisdictions where we are registered, notice filed, or where we qualify for an exemption or exclusion from registration requirements. For complete information about our firm, please refer to our Form ADV Part 2A, 2B and CRS at any time.

The information provided in this report should not be considered a recommendation to purchase or sell any particular security. There is no assurance that any securities discussed herein will remain in an account’s portfolio at the time you receive this report or that securities sold have not been repurchased. Past performance is no guarantee of future results. The reader should not assume that investments in the securities identified were or will be profitable.”

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