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No one can predict with certainty which areas of financial technology (FinTech) will lead to the next significant wave of disruption. However, there are several growth catalysts for FinTech, including the rise and practical application of artificial intelligence, distributed ledger technology, or DLT (that is, blockchain); and the wide adoption of mobile technology. Advances in FinTech are poised to lead future generations of growth across capital markets, the financial services value chain, and developing economies.

Even as the financial markets have rallied in early 2019, recession concerns have dominated investor discussions. We continue to believe that the U.S. economy will avoid recession this year. However, economic policy uncertainty increased and financial conditions tightened significantly in late 2018 and early 2019. We explore the extent to which these twin risks are expected to spill over to the real economy.

The inversion yield curve is widely viewed as one of the most reliable and accurate predictors of economic slowdown. The traditional warning sign has garnered significant attention and has intensified the debate on where we are at in the economy. If you follow the financial media, you have most likely been exposed to some of these deliberations. What follows is a primer on what the yield curve is, some perspective on what an inversion has meant in the past, and whether investors should care.

The economic impact of the tax cut peaked in October 2018 and is now fading. If a bipartisan U.S. federal budget agreement cannot be reached before the end of 2019, a $126 billion fiscal cliff awaits the U.S. economy in the 2020 fiscal year, and will begin acting as a drag on overall growth later in 2019. A review of leading indicators of economic activity can provide critical insight as the U.S. economy heads into the late innings of this current business cycle.

Veronica and Greg share how investments in their donor-advised fund account have grown over the years, which has enabled them to give even more to the causes they care about.

REITs’ recent strong relative performance highlights the potential benefits of having defensive, lease-based revenues, and high dividend yields in an environment of heightened uncertainty. As investors look to protect their portfolios from what may be a more challenging and volatile environment, we believe a 10-15% allocation to REITs can be part of the solution. REITs provide a compelling way to diversify in today’s market, offering attractive relative valuations, low correlations with equities, and the backing of robust demand in the private market.

An increasingly popular way to reduce taxes generally is to invest in Qualified Opportunity Zones (QOZs), but little is discussed about how QOZs can be utilized to shift appreciation of wealth over time to future generations. Investors have various options to transfer interests in QOZs to future generations tax efficiently. With this new opportunity available, there are a few items to evaluate: What is the value of the QOZ over time? Why would you transfer the QOZ interest? What are things to be aware of when making this decision?