Like many of today’s financial services companies, First Command has felt the impact of the economic downturn and precipitous drop in the stock market. But unlike many of these companies we have experienced a relatively smooth ride through this financial storm.
First Command has traveled a different path from many in the financial services business. While others pursued the latest trends, we adhered to the same sound financial principles our Financial Advisors have been promoting to clients for the past half century. During the most recent bull market we did not engage in the high-risk financial strategies that contributed to the housing bubble and eventually poisoned so many banks and other financial institutions. Resisting these temptations has allowed us to stay on firm financial ground even as the crisis has unfolded.
Our clients have remained remarkably loyal in this difficult environment. We are humbled and grateful to all of you who continue to entrust us with your financial future. We are committed to continuing to serve you in your efforts to build wealth, reduce debt and pursue your lifetime financial goals and dreams. That may sound like a tall order in today’s uncertain economic environment. Admittedly we do not know what the future holds. But we can gain some insight by looking into the past.
We know from our decades of experience in the financial industry – decades serving clients in times both good and bad – that market turmoil frequently begets opportunity. No less an investing authority than Warren Buffet suggests that “...bad news is an investor’s best friend. It lets you buy a slice of America’s future at a marked-down price.”
That’s why the management team of every investment that we recommend to our clients is busily sifting through the investment opportunities being presented by today’s emotional selling. They are carefully studying the various government responses to the crisis so they can anticipate which industries and companies may be best positioned to capitalize on future opportunities. And it’s why our own investment management team is methodically reviewing and assessing the portfolios of the investments we offer our clients. A vital aspect of our fiduciary role is to ensure that the investments we recommend are prudent, have a consistent investment philosophy and offer proven professional management. We meet with the management teams of our product providers to better understand their strategies and carefully consider how to best position client portfolios to successfully navigate a range of potential outcomes.
Though many of our recommended funds have been sporting negative short-term returns, we’re confident that their performance will improve as investors regain their confidence and begin returning to the market. Of course, there are no guarantees as risk is inherent in the market. In the meantime, we believe there probably hasn’t been a better opportunity to invest in industry-leading companies in more than 30 years.
We do not know when or if the market will rebound, but we’re not wringing our hands over the daily news cycle or wasting any time on the futile business of forecasting the timing of an eventual recovery. We’re trying to make bad news our best friend – by looking for opportunities, following sound financial principles and pouring our resources into smart, rational decisions that put your best interests first. Thank you again for entrusting us with your financial future.
First Command Financial Services, Inc., parent of First Command Financial Planning, Inc. (Member SPIC, FINRA)