As we approach Memorial Day weekend, Lowe fs wants to recognize and thank all of our clients who have served our country in the military.

What a week it has been in the global stock markets. Taking a moment to survey the landscape at the time of this writing it is our belief that many risks remain and that no significant fundamental changes have occurred. The factors that unsettled the stock markets during May are still with us today.

We have often talked about the U.S. consumer representing about two thirds of our economy. Our focus for the sustainability of the U.S. economic recovery remains job creation (decreasing unemployment), improving consumer spending and improving corporate earnings.

According to the Wall Street Journal, consumer spending was virtually unchanged in April. Most economists had expected a modest increase. In our view, meaningful job creation must occur before any meaningful and sustainable increase in consumer spending will happen.

Our belief is that retaining a well diversified allocation, tilted toward potential asset preservation, coupled with a disciplined approach is prudent for our actively managed discretionary accounts in the current environment.

Have a great weekend and we will update you on our outlook as the global situation continues to evolve next week.

Material discussed is meant for general illustration and/or informational purposes only and it is not to be construed as tax, legal, or investment advice. Although the information has been gathered from sources believed to be reliable, please note that individual situations can vary therefore, the information should be relied upon when coordinated with individual professional advice. Not all portfolios are actively managed. If you have a question about how your account is being managed please contact us. Generally accounts less than $150,000 are not actively managed. An Index is a portfolio of specific securities (common examples are S&P, DJIA, NASDAQ), the performance of which is often used as a benchmark in judging the relative performance of certain asset classes. Indexes are unmanaged portfolios and investors cannot invest directly in an index. Past performance is not indicative of future results.

Important Disclosures

• Not all portfolios are actively managed. If you have a question about how your account is being managed please contact us.
• No diversification can completely protect against market risk or other risk factors with investing. A diversified portfolio could still lose money.
• An Index is a portfolio of specific securities (common examples are S&P, DJIA, NASDAQ), the performance of which is often used as a benchmark in judging the relative performance of certain asset classes. Indexes are unmanaged portfolios and investors cannot invest directly in an index. Past performance is not indicative of future results.

Foreign investing carries additional risk such as currency risk, political risk and different accounting standards.

*Lowe fs is a registered investment advisor.