News from the Home Team

We hope everyone is enjoying the summer! A couple of weeks ago we got together in Boston with other advisors for Cantella’s annual conference and were lucky enough to see the Tall Ships in Boston Harbor that were visiting from around the world to celebrate our country’s 250^th anniversary!

While that was amazing, and as always, it was great to catch up with other financial advisors and share ideas and old stories, the big focus was continuing education on the financial topics that can impact your life and financial future. There is always so much changing in financial services that this event, and others like it, are helpful to ensure we are staying up to date with industry changes and their real-life impact.

A major focus of our workshops was healthcare and retirement planning. We spent time learning about healthcare costs, long-term care considerations, and retirement income strategies, along with how these factors can influence long-term planning. As always, these discussions reinforced the importance of preparing for retirement with a plan that can adapt over time, as well as having a plan in place for when you actually retire.

Discussions about legacy planning, philanthropy, and charitable giving strategies, as well as addressing our own business continuity and succession planning so there are processes in place to provide ongoing support for our clients should something unexpected happen to us

We learned about different investments and strategies, which provided fresh perspective. While our core investment strategy remains firm, learning how peer advisors and investment managers apply different solutions offers valuable insight for our practice.

Operational technology and data security updates was another critical track. Discussions focused on emerging cyber defenses, encrypted communications, and internal compliance standards designed to protect your sensitive personal and financial data.

Collaborating with respected colleagues always reinforces our core mission. We appreciate the continued trust you place in our firm and look forward to putting these insights to work for your family.

We encourage you to explore the articles below and reach out with any questions!

Market Insights

Cambridge’s monthly market insights break down the latest economic trends, inflation data, and policy shifts shaping today’s investment landscape.

Week in Review

Economic data released during the week pointed to continued economic expansion, supported by a resilient labor market and improving business activity, though inflationary pressures and housing affordability challenges remained important areas of focus.

Labor market data continued to highlight underlying strength. Initial jobless claims fell to 187,000, down from 209,000 the prior week, marking the lowest level in decades. The decline reinforced the view that labor market conditions remain healthy. Continued labor market resilience should help support consumer spending and broader economic activity.

Business activity strengthened during the month. Preliminary July Services Purchasing Managers’ Index (PMI) data showed Composite PMI rising to 53.6 from 51.9 in June, reaching its highest level in eight months. Services activity remained the primary driver of growth, while July Manufacturing PMI eased slightly from the prior month but remained in expansion territory with a reading of 53.8. The data suggested the economy entered the second half of the year with solid momentum, supported by continued demand across much of the private sector.

Energy market data provided a mixed signal on inflation pressures. U.S. commercial crude oil inventories increased by 2.0 million barrels during the week, reversing expectations for a decline. While higher inventory levels may help reduce upward pressure on energy prices in the near term, overall stockpiles remain below historical averages, indicating supply conditions remain relatively tight.

Housing data suggested conditions remain challenged but stable. New home sales increased 1.6% in June to an annualized pace of 628,000 units, improving from 618,000 in May. This increase suggests housing demand remains resilient despite elevated mortgage rates, providing evidence that buyers continue to adapt to higher borrowing costs. While activity remains below the stronger pace seen in recent years, the report indicated the housing market may be gradually finding footing.

Overall, the week's data reflected an economy that continues to expand at a moderate pace. Strong labor market conditions and improving business activity remain supportive of growth, while inflation and housing affordability continue to present challenges that policymakers and investors will monitor closely.

Economic and Capital Markets Dashboard

Week Ahead

Markets head into the final week of July focused on several key releases that will help shape expectations for economic growth, inflation, and monetary policy.

The week begins with durable goods orders, which will provide insight into business investment and manufacturing demand. Investors will be watching for signs that capital spending remains resilient despite continued uncertainty surrounding the economic outlook.

Consumer confidence will also be in focus following recent evidence of steady household spending. A stronger reading would suggest consumers remain confident in labor market and economic conditions, while any deterioration could raise concerns about the sustainability of consumer demand.

The Federal Reserve's policy announcement on Wednesday will serve as the week's most closely watched event. While no change in interest rates is expected, markets will focus on policymakers' assessment of inflation, labor market conditions and the potential path of future policy decisions.

Thursday will feature several important releases, highlighted by the advance estimate of second-quarter GDP, the Core Personal Consumption Expenditures (PCE) Price Index, and initial jobless claims. GDP will provide the first broad assessment of economic growth during the quarter and help investors gauge the underlying strength of the economy. The Core PCE Price Index, the Federal Reserve's preferred measure of inflation, will be closely monitored for signs that price pressures continue to moderate. Markets will also watch initial jobless claims for evidence that labor market conditions remain healthy and layoffs remain limited.

The week concludes with the Chicago PMI and the final University of Michigan Consumer Sentiment data for July. Chicago PMI will be closely watched for clues on manufacturing activity ahead of the national ISM report, while consumer sentiment and inflation expectations will provide further insight into the outlook for household spending and inflation.

Overall, the week's data should help clarify whether economic growth remains resilient, inflation continues to moderate and labor market conditions remain supportive. These releases will play an important role in shaping expectations for the Federal Reserve and the broader economic outlook during the second half of the year.

Disclosures and Definitions

Economic Indicators:

1. CPI: Consumer Price Index measures the average change in prices paid by consumers for goods and services over time. Source: Bureau of Labor Statistics.
2. Core CPI: Core Consumer Price Index excludes food and energy prices to provide a clearer picture of long-term inflation trends. Source: Bureau of Labor Statistics.
3. PPI: Producer Price Index measures the average change in selling prices received by domestic producers for their output. Source: Bureau of Labor Statistics.
4. Core PPI: Core Producer Price Index excludes food and energy prices to provide a clearer picture of long-term inflation trends. Source: Bureau of Labor Statistics.
5. PCE: Personal Consumption Expenditures measure the average change in prices paid by consumers for goods and services. Source: Bureau of Economic Analysis.
6. Core PCE: Core Personal Consumption Expenditures exclude food and energy prices to provide a clearer picture of long-term inflation trends. Source: Bureau of Economic Analysis.
7. Industrial Production: Measures the output of the industrial sector, including manufacturing, mining, and utilities. Source: Federal Reserve.
8. Mfg New Orders: Measures the value of new orders placed with manufacturers for durable and non-durable goods. Source: Census Bureau.
9. Durable New Orders: Measures the value of new orders placed with manufacturers of durable goods. Source: Census Bureau.
10. Durable Inventories: Measures the value of inventories held by manufacturers for durable goods. Source: Census Bureau.
11. Consumer Confidence (CB, 1985=100): Measures the degree of optimism that consumers feel about the overall state of the economy and their personal financial situation. Source: Conference Board.
12. ISM Manufacturing Report: Measures the economic health of the manufacturing sector based on surveys of purchasing managers. Source: Institute for Supply Management.
13. ISM Non-Manufacturing Report: Measures the economic health of the non-manufacturing sector based on surveys of purchasing managers. Source: Institute for Supply Management.
14. Leading Economic Index: Measures overall economic activity and predicts future economic trends. Source: Conference Board.
15. Building Permits (Mil. of Units, saar): Measures the number of new residential building permits issued. Source: Census Bureau.
16. Housing Starts (Mil. of Units, saar): Measures the number of new residential construction projects that have begun. Source: Census Bureau.
17. New Home Sales (Mil. of Units, saar): Measures the number of newly constructed homes sold. Source: Census Bureau.
18. SA: Seasonally adjusted.
19. SAAR: Seasonally adjusted annual rate.

Market Indices & Indicators:

1. S&P 500: A market-capitalization-weighted index of 500 leading publicly traded companies in the U.S., widely regarded as one of the best gauges of large U.S. stocks and the stock market overall.
2. Dow Jones 30: Also known as the Dow Jones Industrial Average, it tracks the share price performance of 30 large, publicly traded U.S. companies, serving as a barometer of the stock market and economy.
3. NASDAQ: The world's first electronic stock exchange, primarily listing technology giants and operating 29 markets globally.
4. Russell 1000 Growth: Measures the performance of large-cap growth segment of the U.S. equity universe, including companies with higher price-to-book ratios and growth metrics.
5. Russell 1000 Value: Measures the performance of large-cap value segment of the U.S. equity universe, including companies with lower price-to-book ratios and growth metrics.
6. Russell 2000: A market index composed of 2,000 small-cap companies, widely used as a benchmark for small-cap mutual funds.
7. Wilshire 5000: A market-capitalization-weighted index capturing the performance of all American stocks actively traded in the U.S., representing the broadest measure of the U.S. stock market.
8. MSCI EAFE Index: An equity index capturing large and mid-cap representation across developed markets countries around the world, excluding the U.S. and Canada.
9. MSCI Emerging Market Index: Captures large and mid-cap representation across emerging markets countries, covering approximately 85% of the free float-adjusted market capitalization in each country.
10. VIX: The CBOE Volatility Index measures the market’s expectations for volatility over the coming 30 days, often referred to as the "fear gauge."
11. FTSE NAREIT All Equity REITs: Measures the performance of all publicly traded equity real estate investment trusts (REITs) listed in the U.S., excluding mortgage REITs.
12. S&P U.S. Aggregate Bond Index: Represents the performance of the U.S. investment-grade bond market, including government, corporate, mortgage-backed, and asset-backed securities.
13. 3-Month T-bill Yield (%): The yield on U.S. Treasury bills with a maturity of three months, reflecting short-term interest rates.
14. 10-Year Treasury Yield (%): The yield on U.S. Treasury bonds with a maturity of ten years, reflecting long-term interest rates.
15. 10Y-2Y Treasury Spread (%): The difference between the yields on 10-year and 2-year U.S. Treasury bonds, often used as an indicator of economic expectations.
16. WTI Crude ($/bl): The price per barrel of West Texas Intermediate crude oil, a benchmark for U.S. oil prices.
17. Gold ($/Troy Oz): The price per troy ounce of gold, a standard measure for gold prices.
18. Bitcoin: A decentralized digital currency without a central bank or single administrator, which can be sent from user to user on the peer-to-peer bitcoin network.

This content was developed by Cambridge from sources believed to be reliable. This content is provided for informational purposes only and should not be construed or acted upon as individualized investment advice. It should not be considered a recommendation or solicitation. Information is subject to change. Any forward-looking statements are based on assumptions, may not materialize, and are subject to revision without notice. The information in this material is not intended as tax or legal advice.

Investing involves risk. Depending on the different types of investments there may be varying degrees of risk. Socially responsible investing does not guarantee any amount of success. Clients and prospective clients should be prepared to bear investment loss including loss of original principal. Indices mentioned are unmanaged and cannot be invested into directly. Past performance is not a guarantee of future results.

The Dow Jones Industrial Average (DJIA) is a price-weighted index composed of 30 widely traded blue-chip U.S. common stocks. The S&P 500 is a market-cap weighted index composed of the common stocks of 500 leading companies in leading industries of the U.S. economy. The NASDAQ Composite Index is a market-value weighted index of all common stocks listed on the NASDAQ stock exchange.

Securities offered through Cambridge Investment Research, Inc., a broker-dealer, member FINRA/SIPC, and investment advisory services offered through Cambridge Investment Research Advisors, Inc., a Registered Investment Adviser. Both are wholly-owned subsidiaries of Cambridge Investment Group, Inc. V.CIR.0726-2797

This Month’s Spotlight

Making the Most of Your Required Minimum Distribution (RMD)

For many retirees, Required Minimum Distributions (RMDs) are more than just an annual requirement—they're an important part of an overall retirement income strategy.

If you're required to take an RMD this year, it's a good time to review your distribution plan and make sure it aligns with your financial goals. While RMDs are mandatory for many retirement accounts, how and when you take your distribution can have an impact on your cash flow and taxes.

A Few Helpful Reminders

• Confirm your required distribution amount for the year (this amount is on your monthly statements or call your financial advisor and ask).
• Don't wait until year-end— you don’t necessarily need to take your distribution before year-end, but coordinate with your financial advisor to ensure it is set up to go out before year-end so you do not inadvertently forget to take it.
  • Work with your advisor to automate these to go out on a set date each year (you can always change it if something changes).
• You do not have to take a lump sum distribution. You can also opt to take withdrawals in smaller amounts over the year as long as they eventually total enough to satisfy your full RMD amount.
• You can opt to have your distribution transferred to a non-retirement account (vs. going to your bank) and continue to remain invested or put into a money market.
• If you have multiple IRA accounts, you can opt to take the total distribution amounts for those accounts from one of your IRA accounts.
• Review your tax withholding options before taking your distribution (your financial advisor can tell you what you had for state and federal withholding last year).
• Consider how your RMD fits into your overall retirement income strategy.
• Review any inherited IRAs with your financial professional to confirm the timeframe for drawing down those assets. Depending on when the original account owner died you may be required to spend down these assets within 10 years.
• If you do not have a bank instruction linked to your bank account, consider doing so. This is a great convenience whether you need to take an RMD or simply withdraw from or add funds to your investment accounts.
• Other:
  • Take a moment to review your account beneficiaries. You'd be surprised how many people forget to update these, and you want to make sure everything still aligns with your current wishes!
  • For those of you not taking RMDs yet—start considering when you need to make your retirement plan contributions for this year.

Your RMD is more than a yearly obligation—it's an opportunity to review your financial plan and make sure everything continues to work together. Whether you have questions about your RMD, retirement income, or tax planning, we're here to help you make informed decisions with confidence.

Did You Know?

• You may be able to satisfy your RMD and support charitable causes without increasing your taxable income. Utilizing tax-smart charitable strategies allows eligible IRA holders to transfer distribution amounts directly to qualified organizations. This reduces your adjusted gross income for the year while meeting your annual IRS distribution obligations.
• RMD amounts are recalculated annually based on your account balance and IRS life expectancy tables.
• Missing an RMD or taking less than the required amount may result in IRS penalties, though relief may be available in certain circumstances if corrected promptly.
• The SECURE Act changed how inherited IRAs work for non-spouse beneficiaries. If you inherited an IRA from an owner who passed away after December 31, 2019, you are generally required to fully withdraw all funds within 10 years. (IRAs inherited prior to 2020 remain grandfathered under the old "stretch" rules.) Spreading those distributions strategically across the 10-year window can help prevent a sudden jump in your tax bracket.

…and some fun ones!!

• The popsicle was invented completely by accident in 1905 by an 11-year-old boy named Frank Epperson. He left a cup of powdered soda mix, water, and a stirring stick out on his porch overnight during an unusually cold freeze in San Francisco. He originally called his invention the "Epsicle," but years later, his children convinced him to change the name to Popsicle.
• July is officially the busiest month of the year for ice cream production in the United States, which makes sense given that it was designated National Ice Cream Month by President Ronald Reagan back in 1984. Vanilla remains the undisputed favorite flavor, accounting for roughly 28% of all ice cream sales.
• The iconic summer boardwalk game Skee-Ball was invented in 1909 and was originally 36 feet long. The ramps were so long and heavy that playing required serious physical effort. It wasn't until 1928 that the mechanical alley was shortened to 14 feet, making it accessible for kids and carnival boardwalks across the country.
• Summer blockbuster movies owe their origin story to July 1975, when Jaws hit theaters. Before Jaws, movie studios viewed summer as a dead zone for cinemas and saved big releases for winter. Jaws became the first film to break $100 million at the box office, forever changing Hollywood strategy to make summer the premier season for major releases.

Tech Tips

Stay on Track: RMDs & Smart Tech Tips for Your Retirement

As we move through the year, it's a great time to make sure your retirement plan stays on track. One important item many retirees need to keep in mind is their Required Minimum Distribution (RMD).

Understanding Your RMD

If you're required to take an RMD from your retirement account this year, don't wait until the last minute. Missing your distribution or taking the wrong amount could result in unnecessary tax complications.

A few reminders:

• Know your annual RMD amount.
• Review whether taxes should be withheld from your distribution.
• Consider how your RMD fits into your overall income and tax picture.
• Contact our office if you're unsure about your distribution requirements.

Tech Tips to Help You Stay Organized

Technology can make managing your finances easier and more secure. Here are a few simple ways to stay organized:

• Set calendar reminders for important financial deadlines, including RMDs.
• Enroll in e-delivery for account statements and tax documents to reduce paper clutter.
• Use strong, unique passwords and enable multi-factor authentication whenever available.
• Review your online accounts regularly to monitor balances and identify any unusual activity.
• Keep your contact information up to date so you don't miss important account notifications.

Recipe of the Month

Grilled Bang Bang Shrimp Skewers

Shrimp on a stick. Bang bang sauce brushed on thick. A pile of scallions on top making the whole thing look like it came from a restaurant. Summer dinners, folks this is the move.

Ingredients

For the shrimp:

• 1 lb shrimp (peeled and deveined with tails left on)
• 1.5 tbsp canola oil
• 1/2 tsp garlic powder
• Scallions (thinly sliced on the bias for garnish)

For the sauce:

• 1/3 cup mayo (I prefer Hellmann’s for the creamiest texture)
• 3 tbsp sweet chili sauce (I use Mae Ploy)
• 1 tbsp sriracha
• 1 tsp fresh lime juice

Step 1: Prep Skewers and Scallions

• Wooden skewers
• 1 lb shrimp
• Scallions

Place wooden skewers in a shallow dish and cover with water to soak for at least 30 minutes—this prevents them from charring on the grill. While soaking, thinly slice the scallions on the bias and set aside for garnish.

Pat the shrimp dry with paper towels to remove excess moisture, which helps them cook more evenly and develop better browning on the grill.

Step 2: Whisk the Signature Sauce

• 1/3 cup mayo
• 3 tbsp sweet chili sauce
• 1 tbsp sriracha
• 1 tsp fresh lime juice

In a small bowl, whisk together the mayo, sweet chili sauce, and sriracha until smooth and well combined. Finish with fresh lime juice and stir to incorporate.

I like to taste the sauce at this point and adjust the heat or sweetness to my preference—you can add more sriracha if you want more kick, or more mayo if you prefer it milder.

Set the sauce aside, reserving about 2 tablespoons for brushing the cooked shrimp and the rest for serving.

Step 3: Assemble and Season Skewers

• Soaked wooden skewers
• 1 lb shrimp
• 1.5 tbsp canola oil
• 1/2 tsp garlic powder

Remove skewers from water and pat dry. Thread shrimp onto the soaked skewers, using 4-5 shrimp per skewer depending on size, piercing them through the tail and body so they lay relatively flat.

In a small bowl, combine the canola oil with garlic powder, then lightly brush or toss the shrimp with this mixture on both sides. I find brushing works best because it gives you control and prevents over-oiling.

Step 4: Sear the Shrimp Skewers

• Prepared shrimp skewers from Step 3

Heat your grill to high heat and lightly oil the grates to prevent sticking. Once hot, place the shrimp skewers directly on the grill and cook for 2-3 minutes without moving them—this creates a nice char and allows the flavors to develop.

Flip the skewers and cook for another 2-3 minutes on the second side until the shrimp are opaque and cooked through. The shrimp will have a slight pink color with light char marks when done.

Step 5: Glaze and Garnish

• Grilled shrimp skewers from Step 4
• Bang bang sauce from Step 2
• Sliced scallions from Step 1

Remove the shrimp skewers from the grill and immediately brush generously with the reserved bang bang sauce from Step 2. Transfer to a serving platter and garnish with the sliced scallions.

Serve immediately with extra bang bang sauce on the side for dipping.

National Parks

13 Best National Parks in Missouri to Visit This Year

Missouri is filled with beautiful landscapes in the heart of America. It’s known as the gateway to the west, memorialized by the Gateway Arch in St. Louis. But beyond the big city, there are rolling hills, flowing rivers, and immense history and culture.

But did you know Missouri has 13 national parks?

From unique inner-city parks to scenic riverways to historical sites, the national park sites in Missouri are plentiful. So you can immerse yourself in this midwestern state’s history, natural beauty, and culture.

Map of Missouri National Parks

Missouri’s national parks are spread throughout the state. The seven national parks within Missouri (excludes the multi-state national historic trails) can be seen on the map here.

National Parks in Missouri

There are several parks in Missouri, ranging from official “national parks” to national monuments to scenic riverways and national historic sites. Keep reading to discover the best of these national parks in Missouri.

1. Gateway Arch National Park

2. George Washington Carver National Monument

3. Harry S. Truman National Historic Site

4. Ozark National Scenic Riverways

5. Ste. Genevieve National Historical Park

6. Ulysses S. Grant National Historic Site

7. Wilson’s Creek National Battlefield

National Historic Trails in Missouri

In addition to the national parks in Missouri, several national historic trails pass through the state. These trails span multiple states and commemorate some of the most critical multi-state historical paths and routes.

8. California National Historic Trail

The California National Historic Trail follows the route of 250,000 emigrants who journeyed to California during the Gold Rush in the 1840s and 1850s. The trail is over 5,000 miles long, stretching across ten states from Missouri to California. 

9. Lewis & Clark National Historic Trail

The Lewis & Clark National Historic Trail follows the roughly 4,900-mile path from Pittsburgh to the Pacific Ocean in Astoria, Oregon. The trail passes through sixteen states, including Missouri, the gateway to the west after the Louisiana Purchase.

10. Oregon National Historic Trail

The Oregon National Historic Trail, more commonly known as the “Oregon Trail”, starts in Missouri and spans more than 2,000 miles westward to Oregon, passing through six states. 

11. Pony Express National Historic Trail

The Pony Express National Historic Trail is another pathway that began in Missouri, the true gateway to the west. Spanning from St. Joseph, Missouri, to San Francisco, California, this route covers 1,800 miles and eight states.

12. Santa Fe National Historic Trail

The Sante Fe National Historic Trail follows the important trail from Missouri to New Mexico established during the 1800s. Also called the Great Prairie Highway, this route was vital for trading in the southwest.

13. Trail of Tears National Historic Trail

The Trail of Tears National Historic Trail marks the route followed by the indigenous Cherokee people who were forcibly removed from their homes and relocated to the Indian Territory further west.

Missouri serves as a diverse gateway to American history and natural beauty, featuring 13 national park sites that range from urban monuments and scenic riverways to significant historic trails. These destinations offer immersive experiences into the state's cultural heritage and varied landscapes, from the Gateway Arch to the Ozark waterways.

Take a look on Amazon or in local stores and see if you can find some books and games like these to play with your kids or grandchildren. It is a fun way to spend some time with them, while checking out some of these great potential vacation spots!