Current Newsletter

We lived in Massachusetts when we bought our Portland property as an investment back in 1998. Years later, when the commuter hour for Vinnie became a 2-hour stress drive, we sought a change, moving from Massachusetts to our Portland home.

I am not a city girl; I was raised in the quiet suburbs of Concord. Before our move we lived in the Apple Valley of Westford. The noise, dust, and exhaust of Portland; the brick, tar, and concrete; the dense and diverse population all made me yearn for trees and birds and peace. Alternatively, I enjoyed the city life – the excitement, the people, the restaurants; the Artwalks, music and theatre; the farmers market, the Eastern Prom, Buying Local – all within footsteps of my door.

Hedge funds are investments that are available to a limited number of investors – to individuals who meet certain income and wealth criteria, but for the most part to pension funds and other institutions with large endowments. Hedge funds employ a variety of strategies and techniques in an effort to generate positive returns in both up and down markets. Hedge funds typically have some restrictions with regard to cashing out. There are 4 basic categories under which a hedge fund invests: global macro, event-driven, directional, and relative value. A single hedge fund might utilize more than one of these strategies to manage risk.

"Global macro" refers to a "big picture" analysis of global macroeconomics (entire markets and economies around the world) and may be based on political and governmental changes, interest rate trends and other developments and events that suggest an opportunity for profit. The fund manager may invest in currencies, commodities, stocks and bonds and will use leverage to maximize returns.

It's always interesting, and sometimes a challenge, to work with clients to adjust their spending habits. The way we spend money comes from a lifetime of money messages, and these can be hard to change. So when I have a client who is doing everything right I just want to kiss them on the lips! (But I don't!) However even these clients can succumb to temptation.

Recently a couple I've been working with for several years –"Phil" and "Lisa" - had a boost to their income. Lisa is self-employed, and demand for her services is up, but she is not sure how long it will last. Phil and Lisa have made good financial decisions in the past; saving for retirement, paying down debt and saving towards college education for their children. They are sensible people but as soon as Lisa's income increased they lost a little of that discipline. They started to spend more on discretionary items like clothes and eating out. It was tempting to think that things would always be this way and, like water seeking its own level, they quickly adjusted their spending to this new situation.

Clients often ask us about how long they need to retain certain documents. Below is a list of some of the more common items; if you would like to see a more complete list please let us know and we will make it available to you.