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The US equity market posted negative returns for the quarter and underperformed both non-US developed and emerging markets.

Developed markets outside of the US posted positive returns for the quarter and outperformed both US and emerging markets.

US real estate investment trusts underperformed non-US REITs during the quarter.

Some are worried that Social Security may not be there when they retire. Even without increasing taxes, the Social Security system is projected to be able to pay 73% of promised benefits all the way out to the year 2098.

The primary source of Social Security funding—payroll taxes—is continuous. As long as people are working, the system collects revenue. Currently, payroll taxes cover about 77-80% of benefit payments even without trust fund reserves.

Unlike private financial schemes, Social Security is backed by the full faith and credit of the U.S. government. Congress has adjusted Social Security multiple times in its history, including the 1983 reforms, which raised the retirement age and increased payroll taxes to stabilize funding. Future adjustments will likely follow a similar path.

US stock markets had an excellent year in 2024 and outperformed international and emerging markets.

The price-to-earnings (P/E) ratio discount of international stocks vs. US stocks is greater today than the 20-year average.

It makes sense to rebalance your portfolio when your stock allocation gets either too far above or below the target allocation.

The US equity market posted positive returns for the quarter and outperformed both non-US developed and emerging markets.

Developed markets outside of the US posted negative returns for the quarter and underperformed the US market, but outperformed emerging markets.

Within the US Treasury market, interest rates generally increased during the quarter.

The US equity market posted positive returns for the quarter and underperformed both non-US developed and emerging markets.

REIT indices outperformed equity market indices.

The Bloomberg Commodity Total Return Index returned +0.68% for the third quarter of 2024.

Review your marginal tax brackets for ordinary income and capital gains rates to decide which account to withdraw from.

Don’t make the mistake of overfunding retirement accounts at the expense of your brokerage (taxable) accounts. It’s important to have non-retirement assets for flexible spending and savings goals. If you haven’t set up a taxable brokerage account, perhaps this is the next move to make for any money leftover that you haven’t found a home for

End of year provides you with the opportunity to think about managing liabilities. Consider the relative advantage to paying down debts with assets. What is the tax impact of doing so? Would it make a difference to your peace of mind?