Webinar Transcript (6/18/2026): Mid-Year Money Check-In: The 2026 Trends That Are Impacting Your Wealth
Host/Speaker: Jonathan I. Shenkman, President & Chief Investment Officer of ParkBridge Wealth Management (Contact: jonathan@parkbridgewealth.com)
Good morning and welcome to the ParkBridge Wealth Management SPRING webinar series. This program is entitled “Mid-Year Money Check-In: The 2026 Trends That Are Impacting Your Wealth.”
As always, my name is Jonathan Shenkman and I am the President and Chief Investment Officer of ParkBridge Wealth Management. In that role I serve in a fiduciary capacity to help my clients achieve their financial objectives.
In addition to the 20 or so events I run every year, I also contribute to a variety of periodicals including Barron's, Forbes, The Wall Street Journal, and Trust & Estates magazine to name just a few. You can see all my work on my website at ParkBridgeWealth.com/Articles or by following me on social media @JonathanOnMoney.
Alright, with that abbreviated introduction, let’s jump into the program.
First, I want to emphasize that this webinar is not going to be similar to what you hear on cable news or on social media platforms. I’m NOT going to try to predict where the markets will end the year or recommend gimmicky investment strategies that are trendy today. NONE OF THAT is helpful in the real world.
Instead, I’ll focus on the key issues that investors and their advisors need to be mindful of that will impact their money today and offer suggestions to position investors for the future.
As with all my programs, this webinar will be fast-paced where I’ll aim to cover a VARIETY of timely topics.
And with that, let’s jump into it…
Let’s start with one of the most important shifts in global investing that we’ve seen in over a decade, which is the RE-EMERGENCE of international equities as meaningful contributors to portfolio returns after YEARS of overwhelming U.S. market dominance. This is not simply a short-term market story. It is a broader discussion about diversification, concentration risk, and long-term portfolio construction.
This year the U.S. markets remain positive, but leadership has clearly narrowed. The S&P 500 is up roughly 9% year-to-date, while the Nasdaq 100 has gained about 11%. However, the mega-cap technology companies are no longer carrying the market.
Meanwhile, international equities have outperformed. Developed international markets, like Europe and Japan, are posting returns around 14%, while emerging markets such as India, Brazil, and Mexico are also producing strong gains. For the first time in many years, global investors are seeing broad-based international leadership rather than a U.S.-centric market environment.
This shift matters because many investors became HEAVILY concentrated in U.S. mega-cap technology stocks during the past decade. At one point, the largest handful of companies represented nearly ONE-THIRD of the S&P 500. That created substantial concentration risk tied to one country, one sector, and a relatively small number of companies.
I can’t tell you how many friends and acquaintances have told me that they piled into US stocks EXCLUSIVELY with the assumption that past returns will continue indefinitely.
Let me remind folks that markets move in CYCLES and concentrating into any one area of the market, even if it’s a popular index like the S&P 500, is ill-advised. Markets can shift on a dime and you need to manage risk. When investors take a step back and consider what’s at stake, namely, your family’s entire financial future, they would act more judicially when allocating their capital by spreading it around into a variety of asset classes.
The current rotation toward international markets should be a reminder that one area of the market doesn’t OUTPERFORM indefinitely.
The reason international stocks are outperforming is due to several factors including: International equities entered 2026 with lower valuations, more attractive dividend yields, and sector exposures that better align with today’s economic environment. At the same time, growing AI infrastructure costs and energy demands have begun pressuring margins for some U.S. technology firms, which have led the market in the past 15+ years.
Importantly, this does not mean the United States is no longer an attractive place to invest. Rather, it reflects a normalization after an unusually long cycle of U.S. outperformance. Historically, leadership between U.S. and international markets has ROTATED over time. The difference is that many investors FORGOT this dynamic after more than a decade of U.S. dominance.
This environment reinforces why diversification remains essential. Diversification is not about predicting which country or sector will outperform next year. NOBODY can predict that accurately especially the talking heads on cable news and market strategists who get paid for their marketing skills rather than their prophetic ability. DIVERSIFICATION is about ensuring portfolios are positioned to participate in leadership changes before they become obvious. Clients with globally diversified portfolios in 2026 are benefiting from broader sector exposure, reduced dependence on U.S. technology stocks, and smoother overall portfolio behavior.
For wealth planners, this creates several important planning opportunities. Advisors should revisit global equity allocations, evaluate whether clients have become excessively U.S.-centric, and ensure portfolios are properly diversified across sectors, regions, and currencies. International outperformance may also create rebalancing opportunities and tax planning considerations, particularly for clients sitting on large, embedded gains in U.S. equities.
Let’s now discuss one of the most trendy investments over the past few years, which is private credit.
For those who are not in the know, private credit sounds fancy, exotic, and exclusive. In reality, it’s none of those things. Private credit is just loans made directly by private funds and asset managers to companies, primarily middle-market businesses that may not have access to traditional public debt markets.
These loans are typically not traded on public exchanges and can include senior secured lending, asset-based finance, mezzanine debt, specialty finance, and other customized financing solutions.
The asset class has grown SIGNIFICANTLY over the past decade as banks have pulled back from certain types of lending, creating opportunities for private lenders to fill the gap. As a result, private credit has evolved into a growing segment of the capital markets and is increasingly viewed as a distinct asset class that sits between traditional fixed income and private equity.
Proponents of private credit will often claim that it offers higher yields than investment‑grade and publicly traded high‑yield bonds, provides steadier cash flows than equities, and typically includes stronger lender protections.
However, these potential benefits come with tradeoffs that most investors don’t pay attention to as they rush to get into this asset class to impress their equally unsophisticated friends on the golf course. The risks include limited liquidity, less price transparency, and of course lower potential returns. Because private loans are not marked to market daily, performance can appear LESS volatile than public markets, even though the underlying credit risks remain present.
This year, private credit faced growing scrutiny as rising defaults and increased borrower stress, which raised concerns about credit quality. Investors became INCREASINGLY focused on liquidity management, valuation practices, and the broader interconnectedness between private credit funds and the financial system. In short, investors finally realized there is no free lunch in investing and the risks with private credit are real and significant.
Like any hot and exciting asset class, many people piled into these investments, and in an effort to raise assets, the asset management industry, lessened their due diligence process AND allowed unsophisticated investors into the market. This has caused the asset class to continue to grow, but the next few years are likely to provide private credit with its first meaningful full credit-cycle test. As a result, manager selection, underwriting discipline, and thoughtful risk management will become increasingly important determinants of investor outcomes.
This is also a good reminder that you can live your whole life and achieve everything you want financially, without ever investing in private credit.
Next, let’s discuss the question I received most often this year which is….you guessed it…on Artificial Intelligence.
Rather than discussing AI in broad terms, I’ll instead focus on how it impacts the wealth management industry and investors specifically, because I think that is a more practical discussion.
To do that, I’d actually like to share a question that sums up the type of inquiries I’ve been receiving. It went as follows:
A friend recently told me he uses AI tools like ChatGPT to structure his portfolio and answer ongoing financial questions. That raises an important question: Can AI effectively replace a human financial advisor?
So, I agree that AI can now answer questions instantly, summarize complex subjects, and generate polished, sophisticated explanations. And if a computer can process vast amounts of data in seconds, it’s natural to wonder whether it can handle most of the questions people typically ask a financial advisor.
The short answer to this question is no. While AI is a VALUABLE tool, it is far from a COMPLETE solution for financial decision-making. Understanding where it helps, and where it falls short, is critical.
Let’s start with the obvious, AI Is a Useful Starting Point: To be clear, AI has real value. I use it myself as a substitute for traditional internet searches. Instead of combing through pages of results, AI can quickly explain financial concepts, summarize articles, and provide historical context.
Unfortunately, AI Often Misses Important Details: Anyone who has used AI for more complex financial questions will quickly notice its limitations. Responses often sound confident and well-structured, but they are not always accurate or complete.
In my own testing, I frequently find gaps. Sometimes the answer lacks nuance. Other times it overlooks key variables that could materially change the outcome. AI produces information, but it does not truly understand your situation. It relies on general patterns, not the specific context that determines whether a strategy is appropriate. In personal finance, those details are EVERYTHING.
Also, keep in mind that Personal Finance Is Personal: One of the biggest misconceptions about financial planning is that it is purely mathematical. Numbers matter, but they are only PART of the equation. You can present AI with a detailed scenario and ask for a strategy, but it rarely asks meaningful follow-up questions. It does not assess risk tolerance, weigh tradeoffs effectively, or understand the emotional factors behind financial decisions.
Two individuals with identical incomes and asset levels may require ENTIRELY different strategies because their goals, personalities, and family situations differ. AI STRUGGLES to account for these differences in a meaningful way. It CAN provide general guidance, but it cannot fully evaluate the human factors that drive real-world decisions.
Family dynamics, for example, can SIGNIFICANTLY influence planning decisions. Issues such as inheritance, spending habits, retirement expectations, or supporting relatives require sensitivity and judgment. These are not areas where a generic answer is sufficient.
Another thing that gets overlooked is that The Human Element Is Essential: A major limitation of AI is its inability to interpret human behavior. In MY conversations with clients, what is not said is often as important as what IS said. Tone, hesitation, discomfort, and enthusiasm all provide insight. These cues shape both the strategy and the likelihood that a client will stick with it. For instance, a client may claim to be comfortable with risk yet show visible anxiety when discussing market downturns. Another client may seem hesitant about leaving a large nest egg to one child given their lifestyle choices. This hesitation can SIGNIFICANTLY impact a family’s financial plan and will likely be overlooked by ChatGPT.
It’s also worth noting that Experience Cannot Be Replicated by Algorithms: Financial markets move in cycles, and advisors who have navigated multiple environments develop practical insights that go beyond data.
Consider recent history. In 2022, after a significant market decline, many investors were shaken. An experienced advisor who has lived through prior downturns, such as the 2008–2009 financial crisis and the volatility of 2020, can provide perspective grounded in real-world experience. Living through these periods teaches how people ACTUALLY behave under stress. Theoretical solutions often look very different when emotions enter the equation. Human judgment remains essential in translating information into practical advice and in helping clients stay disciplined rather than making impulsive and costly decisions.
By the way, this conversation is not new. The Same Debate Has Happened Before: The idea that technology will replace financial advisors has been around for a while. Similar predictions emerged more than a decade ago with the rise of robo-advisors and online trading platforms. At the time, many believed automated tools would eliminate the need for human guidance. If a computer could build and rebalance a portfolio, what role would an advisor play?
Yet, advisors did not disappear. Demand for comprehensive financial planning has continued to grow. In fact, many robo-advisor platforms now employ human advisors to address complex planning needs and the emotional aspects of managing wealth. Technology improved efficiency, but it did not replace thoughtful guidance. The same pattern is unfolding with AI.
Advisors who embrace AI can enhance their work by saving time, improving analysis, and delivering better outcomes. The people who shy away from it will make themselves antiquated.
So, What Should Investors Do? For individuals managing their own finances, AI can be a useful PART of the process. It can help clarify terminology, explore ideas, and identify areas for further research. However, relying on it exclusively is risky. The information may be incomplete, overly generalized, or simply incorrect. If you ask AI about a topic that you already understand well, its limitations become clear.
Self-directed investors must still verify information, consult multiple sources, and carefully evaluate how GENERAL advice applies to their SPECIFIC situation. A more prudent approach is to work with a qualified professional who can interpret information within the context of your life and goals.
Let’s now pivot to discuss, the war with Iran which has created short-term volatility.
It seems like there has been some form of agreement to end this conflict this week, but rather than focusing on PREDICTING how everything will unfold, the more PRACTICAL discussion I am having with clients today centers more broadly on planning for retirement during a choppy market environment. As nerve racking as this situation may be, geopolitical risks and wars are not unique and discussing how to handle these situations within the context of your finances may be helpful. I’m going to share a few thoughts that I’ve been discussing with MY clients.
First, let’s discuss a general point on Retiring into a bad market: The early years of retirement are when portfolios are most vulnerable to sequence-of-returns risk. After decades of work, many individuals are ready to retire regardless of market conditions, but withdrawing from a declining portfolio can PERMANENTLY impair long-term financial security. Preparing clients for retirement in uncertain markets requires flexibility and planning tailored to their stage of life.
One suggestion to handle these challenging environments is to Build a cash or short-term bond buffer: Clients approaching retirement should gradually increase holdings in cash or short-term fixed income. Maintaining one to three years of spending in liquid, low-volatility assets helps avoid selling equities during downturns. This buffer allows portfolios time to recover.
Next is to consider Accelerating Social Security benefits: While delaying Social Security often maximizes lifetime benefits, claiming earlier can serve as a bridge during market downturns. Using Social Security to cover early retirement spending can reduce portfolio withdrawals when markets are depressed, helping mitigate sequence risk in certain cases.
Another suggestion is what’s called “Income flooring”: Essential expenses such as housing, food, and healthcare should ideally be covered by guaranteed income sources like Social Security, pensions, or annuities. This allows investment portfolios to focus on discretionary spending. In some cases, a SPIA can help create predictable baseline income, though suitability varies by client.
Another super unpopular but extremely effective way to handle a rough market later in your career is Continuing to work: Even part-time work or a delayed retirement can significantly reduce portfolio pressure. Additional earned income allows retirees to avoid withdrawals during volatile periods, improving long-term outcomes.
You may also want to consider Flexible spending: Rigid withdrawal rules such as the 4% rule may not be optimal in volatile markets. Temporarily reducing spending by 5–10% during downturns can meaningfully improve portfolio sustainability without materially impacting lifestyle.
A key truth in retirement planning is that the first 5 to 10 years are the most critical. Successfully navigating this period greatly improves long-term outcomes.
Next hot topic are Trump accounts.
So, this year, families will gain access to a new financial tool designed to enhance their children's financial futures, which is the 530A account, commonly known as "Trump Accounts."
First, What is a 530A Account and Who Can Open One? So, this account was introduced under the One Big Beautiful Bill Act. Accounts are available for all American children under age 18, which has been largely overlooked. The attention has been on the $1,000 federal seed money that’s for babies born between Jan. 1, 2025, through Dec. 31, 2028.
To establish the account, the minor must possess a Social Security number and be under 18 years old as of December 31 of the year the account is opened. Each child is permitted only one account.
In terms of Opening a 530A Account: Parents, legal guardians, adult siblings, or grandparents can open a 530A account for eligible children by submitting IRS Form 4547. The form serves as the election to create the account. And you can do this by going to either TrumpAccounts.gov or the Trump Accounts mobile app.
In terms of Availability and Contribution Guidelines: 530A accounts are available this year, with contributions commencing after July 4, 2026. Contribution limits are $5,000 per child per year. This limit includes contributions from parents, families, and up to $2,500 from employers and other organizations.
Now, for Investment and Withdrawal Regulations: Trump Accounts must follow U.S. Treasury rules requiring all funds to be invested in low‑cost mutual funds or ETFs that track broad U.S. equity indices, with expenses capped at 10 basis points.
When the child is a minor, no withdrawals are allowed, and funds may only be moved through direct transfers to other approved accounts such as an ABLE account.
At age 18, the account becomes a traditional IRA, allowing withdrawals for any purpose, subject to ordinary income taxes and a 10% early‑withdrawal penalty. Certain expenses qualify for penalty exemptions, including higher education costs, specific medical expenses, and up to $10,000 for a first‑time home purchase.
Beginning at age 73, required minimum distributions apply. All withdrawals are taxed as ordinary income, and those taken before age 59½ may incur the additional 10% penalty unless an exemption applies.
When it comes to Integration into Family Financial Strategy: 530A accounts provide practical experience in saving and investing to educate your children. Contributions from external sources, such as employers, governments, and charitable organizations, may make the accounts even more attractive.
One planning question that comes up often is Can this account be converted to a Roth IRA? The answer is, YES! The initial guidance indicates that it can be converted to a Roth IRA starting in the year the beneficiary turns 18. Once the Roth IRA is open, the new account could have decades of tax-free growth from the money that was originally placed in the account.
So, if $5,000, per year, is contributed for 18 years and no other money is put in ever, AND the child takes it out at age 65, you are talking about MILLIONS of dollars in this account by the time the child retires, which is an amazing opportunity for many families!
So, now that it’s June, and the 2025 tax returns are filed, advisors finally have real‑world data on how the One Big Beautiful Bill Act (or OBBBA) is affecting planning. Last year was dominated by hypotheticals; this year, advisors can evaluate actual returns, identify misunderstandings, and refine strategies.
• One major lesson from the first filing season is that many clients misunderstood how OBBBA’s new deductions work, especially the enhanced senior deduction. Although the deduction offers up to $6,000 per person, it is a BELOW‑the‑line deduction. It reduces taxable income but does NOT reduce AGI, which is the key driver of Social Security taxation, Medicare IRMAA surcharges, NIIT exposure, and AGI‑based phaseouts. Many retirees expected broader relief and were surprised when taxable Social Security pushed them into phaseout ranges. It’s SO IMPORTANT for advisors to clarify this distinction and integrate the deduction into Roth conversion and retirement income planning rather than overselling its impact.
• Another major development is the increase in the SALT deduction cap from $10,000 to $40,000. This change has allowed some high‑tax‑state clients to itemize again, restoring deductions for mortgage interest, charitable giving, and medical expenses. For advisors, this creates new opportunities to revisit Roth conversion projections, since larger itemized deductions may open room for conversions at favorable marginal rates. Sadly, this doesn’t help my clients located in Bergen County, NJ or Westchester paying 40-50 grand a year in property taxes.
• Pass‑Through Entity Tax (or PTET) elections remain a powerful tool for business owners. OBBBA preserved PTET despite earlier proposals to eliminate it. Because PTET is paid at the entity level, it reduces AGI and can lower Medicare premiums, NIIT exposure, and other AGI‑sensitive items. Although PTET may slightly reduce the QBI deduction, the AGI reduction can create additional Roth conversion capacity. Coordinated planning between advisors and CPAs is essential to maximize these interactions.
• OBBBA also extended the current lower tax brackets, though the word “permanent” in tax law is never truly permanent. This uncertainty reinforces the value of PROACTIVE planning while rates remain favorable. Many clients now hold much larger retirement account balances than anticipated due to strong market performance. Large IRAs create future tax challenges such as higher RMDs, increased IRMAA surcharges, greater Social Security taxation, and heavier tax burdens for beneficiaries under the 10‑year rule. Given these realities, advisors should IDENTIFY low‑income years that may occur to retirement transitions, business slowdowns, or temporary income dips, as prime windows for Roth conversions.
• Rollover planning remains another area where advisors must SLOW DOWN. While IRA rollovers are OFTEN appropriate, they are not always optimal. Clients with highly appreciated employer stock inside retirement plans may benefit from Net Unrealized Appreciation (or NUA) treatment, which allows future gains to be taxed at long‑term capital gains rates. Once assets are rolled into an IRA, NUA opportunities are permanently lost. Advisors should evaluate tax characteristics BEFORE consolidating accounts.
• Looking ahead, several new provisions will reshape planning. Non‑itemizers will gain access to a modest charitable deduction, while high‑income taxpayers will face new limitations on itemized charitable deductions, including a 0.5% AGI floor. These changes may increase the relative value of Qualified Charitable Distributions (or QCDs) for IRA owners age 70½ and older, since QCDs reduce AGI directly and avoid the new limitations.
• Estate planning remains critical. The federal estate and gift tax exemption has increased to $15 million per individual, but history shows exemption levels can change quickly. Families considering dynasty trusts, SLATs, grantor trust strategies, or large lifetime gifts may want to act while exemption amounts remain elevated. Business succession planning is also gaining urgency, with many owners exploring intrafamily sales, valuation discounts, and installment strategies.
Another hot topic as we move through 2026 is the very different economic backdrop than many originally expected just a year ago. In particular, hopes for aggressive Federal Reserve rate cuts have faded as inflation pressures have reaccelerated due to rising energy prices, geopolitical instability, and ongoing fiscal concerns.
· The Fed has held rates at 3.50%–3.75% as inflation resurges toward 4.2% due to energy shocks tied to Iran and the Strait of Hormuz, shifting expectations from multiple cuts to possibly one or none. Furthermore, markets are reassessing policy under new Fed Chair Kevin Warsh, who—despite a reputation for dovishness—faces limited flexibility amid rising prices and may even consider a hike, balancing concerns about inflation credibility with his view that AI‑driven productivity could eventually become disinflationary.
• For retirees and pre-retirees, this environment creates several important planning implications. First, higher interest rates may no longer be a short-term phenomenon. Many investors assumed rates would eventually return to near-zero levels, but we may instead be entering a structurally higher-rate environment where Treasuries, CDs, money markets, and bonds continue offering attractive yields for years.
This has significantly improved retirement income opportunities. Retirees can now generate meaningful income from relatively conservative investments. HOWEVER, higher rates also create pressure elsewhere. Mortgage rates have climbed back near 6.7%, weighing on housing affordability, refinancing activity, commercial real estate, and business investment.
• Investors should also recognize the RISKS associated with eventual falling rates. While lower rates often benefit bond prices and stock valuations, they can simultaneously reduce income from CDs, Treasury bills, and money market funds. Retirees who have become ACCUSTOMED to earning 4% on cash may eventually face reinvestment risk if rates decline in the next few years.
At the same time, lower rates could reignite appreciation in long-duration bonds, utilities, REITs, and dividend-paying equities. This reinforces the IMPORTANCE of maintaining diversified fixed-income exposure rather than concentrating solely on short-term cash vehicles.
• Inflation also carries major estate-planning implications. Rising costs can quietly erode purchasing power even when portfolio balances appear stable. Affluent families must ensure that retirement projections continue accounting for inflation-adjusted spending needs that may last decades.
Ultimately, the 2026 economic environment is forcing investors to rethink assumptions formed during the ultra-low-rate era. Persistent inflation, geopolitical instability, rising debt levels, and leadership changes at the Fed have created a far more UNCERTAIN backdrop. Therefore, FLEXIBILITY, and stress-testing financial plans under multiple rate scenarios remains essential.
Since this is an election year, I’m going to share some thoughts on navigating the midterm election cycle in November.
So, as advisors know, elections RARELY alter the long-term trajectory of capital markets as much as clients believe. However, they DO meaningfully influence investor psychology, policy expectations, tax planning opportunities, and short-term volatility. That distinction is central to effective client management.
• The core challenge during politically charged periods is not portfolio construction, but behavior management. Advisors add their greatest value not by predicting election outcomes, but by preventing emotionally driven decisions that can permanently damage long-term financial plans.
• Historically, midterm election years have followed a familiar pattern. Markets often experience elevated volatility during the first three quarters as investors digest uncertainty surrounding congressional control, fiscal negotiations, tax policy, and regulation. Once outcomes become clearer, markets have historically stabilized and often strengthened into year-end.
That perspective matters because clients frequently assume elections permanently change market direction. Yet since 1945, the S&P 500 has delivered strong long-term returns under Democratic administrations, Republican administrations, unified governments, and divided governments alike. The primary drivers of equity performance remain earnings growth, innovation, productivity, demographics, and monetary policy — NOT who is in power.
• One of the most common advisor mistakes during election years is becoming politically identified with clients. Even subtle political alignment can create unnecessary relationship risk and undermine objectivity. Clients hire advisors for discipline and planning expertise, NOT political commentary.
• Rather than speculating on election outcomes, advisors should model multiple tax scenarios. Effective planning is about preparation, not prediction. Many high-net-worth families are evaluating whether 2026 through 2028 represents a temporary tax-planning window, particularly if future tax rates rise due to fiscal pressures.
• Another related point, is that Midterm election years have historically produced meaningful market pullbacks. In fact, since 1950, the average INTRA-YEAR decline during midterm years has been approximately 16.7%. Historically, however, markets have often recovered strongly after those lows, with the average 12-month rebound approaching 36.5%, although past performance does not guarantee future results. That volatility CAN create an unusually attractive Roth conversion opportunity.
This strategy can be particularly valuable for investors between ages 50 to 65 who are in what many advisors call the “income valley” — the period between retirement and the start of Social Security, pensions, or required minimum distributions. During these years, taxable income may temporarily be lower, creating room for strategic planning.
Keep in mind that Roth conversion planning should rarely be viewed as a one-year decision. It should be coordinated over multiple years alongside Medicare IRMAA thresholds, capital gains realization, charitable deductions, and estate objectives.
• Midterm years also tend to trigger sector rotation as investors reposition around healthcare, defense, energy, technology regulation, and fiscal expectations. This is where advisors must remain ESPECIALLY disciplined. Clients often feel compelled to make concentrated political bets based on election assumptions. In reality, market pricing adjusts quickly, and political narratives rarely translate CLEANLY into investment returns.
Again, for the umpteenth time this webinar: The importance of DIVERSIFICATION remains essential. Rather than allowing AGGRESSIVE portfolio shifts, advisors should implement “portfolio guardrails,” allowing a small thematic allocation — often around 5% — to satisfy client conviction while protecting the broader financial plan. This approach is often more effective behaviorally than rigid prohibitions because clients feel heard while most assets remain aligned with long-term objectives.
• Healthcare planning is another recurring election-cycle issue. Medicare policy, prescription drug pricing, and subsidy debates frequently dominate headlines. But Advisors add value by translating this noise into practical planning conversations surrounding Medicare optimization, IRMAA management, Health Savings Accounts (who’s tax treatment may vary by state, by the way), long-term care planning, and caregiving strategies.
• We are also seeing increased interest in domicile and state tax migration planning. Diverging tax environments continue influencing relocation decisions from higher-tax states such as New York, New Jersey, and California toward lower-tax jurisdictions like Florida and Texas. These conversations should remain analytical rather than ideological, focusing on after-tax cash flow, estate exposure, asset protection, and lifestyle tradeoffs.
And finally, I’m going to end with the hottest question I’ve received over the past month, which was about the SpaceX IPO, which took place last week.
I’ve never been a big IPO guy. The excitement around them is consistently overblown. For most people, IPOs are more about bragging rights on the golf course than sound investment merit. The reality is simple:
1. Individual investors rarely receive a meaningful allocation—if they get any shares at all.
2. Historically, IPOs underperform the broader market over the three to five years following their debut, as early enthusiasm inflates valuations.
Yes, there are exceptions, but many IPOs experienced sharp volatility and steep drawdowns before settling into a sustainable valuation.
The SpaceX IPO is unusual because of its massive estimated valuation—over a trillion dollars—and its extremely small public float, with only about 4–5% of shares initially available for trading. That limited supply could create significant short‑term price swings, amplified further when index funds begin buying shares once SpaceX becomes eligible for inclusion in indexes such as Russell, MSCI, and potentially the Nasdaq‑100. S&P 500 inclusion would likely require at least a year of trading and sustained profitability.
The investment case for SpaceX is compelling but complex. The company dominates the commercial launch market, and Starlink appears highly profitable, generating most of the operating earnings. HOWEVER, despite strong revenue growth, SpaceX is currently reporting GAAP LOSSES, and investing in a company that isn’t profitable doesn’t inspire confidence.
Here’s the bottom line: For most investors eager to own SpaceX—or any newly public company—waiting six to twelve months after the IPO often provides a better risk‑adjusted entry point. That window allows lockups to expire, financial results to accumulate, and valuations to normalize.
For the overwhelming majority of investors who want exposure to innovative companies, a diversified portfolio of index funds already accomplishes that seamlessly. SpaceX will EVENTUALLY find its way into major indexes, and a market‑weighted approach ensures you benefit if the stock appreciates while limiting the impact if it declines.
This is the approach I use for my clients and for my own money. And I can assure you: getting a few IPO‑priced shares would not meaningfully improve most investors’ long‑term financial outcomes. In other words, the excitement was overblown—just like most financial news stories.
And that concludes today’s program. Should you have any follow-up questions, you can reach me at Jonathan@ParkBridgeWealth.com. E-mail is generally the best way to get a hold of me.
Three more quick items before I let you go.
First, this CONCLUDES my SPRING webinar series, but don’t worry! My FALL webinars will be sent out in the coming weeks and we have an ALL-STAR lineup of speakers discussing a variety of very timely topics. I’ll be sure to send out the invitation to these programs in the coming days.In the meantime, if you have a friend or colleague who would like to be notified of these events, they can subscribe to my webinar distribution list by e-mailing me with the word “WEBINAR” in the subject line.
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And with that, this concludes today's session. Please stay safe and healthy, have a wonderful day, everybody.