Hagen Financial Network, Inc.

Tuesday, May 22, 2018

The royal wedding boosted the UK economy!

PEEK OF THE WEEK

May 22, 2018

Leif Hagen & Donna Roberts

The Markets

Too much? Too little? Or just right?

U.S. stock markets were relatively calm, although they finished the week lower. U.S. Treasury yields hit a 7-year high and finished the week above 3 percent. While these were notable, the most remarkable events last week occurred beyond our borders. These include:

· The Vatican publishing a position paper on financial markets. Its opening was, “Economic and financial issues draw our attention today as never before because of the growing influence of financial markets on the material well-being of most of humankind. What is needed, on the one hand, is an appropriate regulation of the dynamics of the markets and, on the other hand, a clear ethical foundation that assures a well-being realized through the quality of human relationships rather than merely through economic mechanisms that by themselves cannot attain it.”

· The royal wedding boosting the British economy. A normal Britain wedding costs about £18 thousand and includes about 80 guests. Prince Harry’s nuptials were a bit more lavish. A wedding planning company estimated the cost of hosting 600 or more guests at £32 million ($43 million in U.S. dollars). The largest component of the cost was £30 million for security, which included drone destroyers.

· Venezuela’s oil-based economy continuing to collapse as oil prices rise. “Venezuela leads the world in two things: oil reserves and incompetence,” opined The Washington Post. Poor management of the state-run oil industry has caused production to drop 23 percent since December. The country’s declining production helped push oil prices higher last week. Prices are at levels last seen in 2014, reported Financial Times. Regardless of the country’s economic woes, this weekend’s election is not expected to oust President Nicolás Maduro.

Rising oil prices have pushed the cost of gas higher, but that’s not expected to deter Memorial Day travelers, according to USA Today. We wish you safe travels during the holiday weekend.

Data as of 5/18/18	1-Week	Y-T-D	1-Year	3-Year	5-Year	10-Year
Standard & Poor's 500 (Domestic Stocks)	-0.5%	1.5%	14.7%	8.4%	10.2%	6.6%
Dow Jones Global ex-U.S.	-0.9	-0.5	11.9	2.7	3.2	-0.2
10-year Treasury Note (Yield Only)	3.1	NA	2.2	2.2	2.0	3.8
Gold (per ounce)	-2.7	-0.6	2.6	1.7	-1.0	3.6
Bloomberg Commodity Index	0.4	2.5	8.4	-4.9	-7.4	-8.3
DJ Equity All REIT Total Return Index	-3.0	-6.5	-0.4	4.3	4.8	5.9

S&P 500, Dow Jones Global ex-US, Gold, Bloomberg Commodity Index returns exclude reinvested dividends (gold does not pay a dividend) and the three-, five-, and 10-year returns are annualized; the DJ Equity All REIT Total Return Index does include reinvested dividends and the three-, five-, and 10-year returns are annualized; and the 10-year Treasury Note is simply the yield at the close of the day on each of the historical time periods.

Sources: Yahoo! Finance, Barron’s, djindexes.com, London Bullion Market Association.

Past performance is no guarantee of future results. Indices are unmanaged and cannot be invested into directly. N/A means not applicable.

did you know there’s a billionaire census? Last week, the fifth edition of the Billionaire Census was released. Apparently, the wealth of billionaires increased by 24 percent during 2017. In addition, the billionaire population, which had suffered reduced numbers since 2015, expanded. It now includes 2,754 individuals. The previous high was 2,473 in 2015. According to Wealth-X:

· 816 live in the Asia-Pacific region

· 884 live in the Americas

· 1,054 live in Europe, the Middle East, and Africa

There is a bit of disagreement about the size of the ‘Three-Comma Club’ and the rate at which its wealth is increasing. In March 2018, Forbes reported there were “…2,208 billionaires from 72 countries and territories including the first ever from Hungary and Zimbabwe. This elite group is worth $9.1 trillion, up 18 percent since last year. Their average net worth is a record $4.1 billion. Americans lead the way with a record 585 billionaires, followed by Mainland China with 373.”

Two hundred and fifty-six women made the list, including 42 new additions.

The Giving Pledge is another exclusive group that some billionaires have joined. The objective of the Pledge is to “…help address society’s most pressing problems by inviting the world’s wealthiest individuals and families to commit more than half of their wealth to philanthropy or charitable causes either during their lifetime or in their will.”

As of February 2018, 175 billionaires from 22 countries had joined.

Weekly Focus – Think About It

“Philanthropy is almost the only virtue which is sufficiently appreciated by mankind.”

--Henry David Thoreau, American essayist and naturalist

Best Regards,

Leif M. Hagen

Leif M. Hagen, CLU, ChFC

LP Financial Advisor

Securities offered through LPL Financial Inc., Member FINRA/SIPC.

www.FINRA.com

www.SIPC.com

P.S. Please feel free to forward this commentary to family, friends, or colleagues.

P.S.S. Also, please remind your friends and family members becoming Medicare eligible that we offer Medicare insurance and Part D options with NO COST to work with Leif as their agent

For more information and resources visit our website at www.HagenFN.com

For Medicare supplement and part D information and resources, please visit MEDICAREforSENIORS.info

https://www.bluecrossmn.com/distribution/shopping/anonymous.html?producerToken=-z67o5fzk3mu4nb2solwzb34c0i15u6shro4wuum8cpns3rj50cqjqj8pznw2g&profile=ifp#welcome

Please FOLLOW and “LIKE US” on FACEBOOK.com/HagenFN

Please Read our Blog @ http://HagenFinancialNetwork.blogspot.com

Please Follow our Tweets on Twitter.com/SafeLeif

Check out this: http://www.MedicareForSeniors.info

* This newsletter was prepared by Peak Advisor Alliance. Peak Advisor Alliance is not affiliated with the named broker/dealer.

* The Standard & Poor's 500 (S&P 500) is an unmanaged group of securities considered to be

representative of the stock market in general. You cannot invest directly in this index.

* The Standard & Poor’s 500 (S&P 500) is an unmanaged index. Unmanaged index returns do not reflect fees,

expenses, or sales charges. Index performance is not indicative of the performance of any investment.

* The 10-year Treasury Note represents debt owed by the United States Treasury to the public. Since the U.S.

Government is seen as a risk-free borrower, investors use the 10-year Treasury Note as a benchmark for the long-term bond market.

* Gold represents the afternoon gold price as reported by the London Bullion Market Association.

The gold price is set twice daily by the London Gold Fixing Company at 10:30 and 15:00 and is expressed in U.S. dollars per fine troy ounce.

* The Bloomberg Commodity Index is designed to be a highly liquid and diversified benchmark for the commodity futures market. The Index is composed of futures contracts on 19 physical commodities and was launched on July 14, 1998.

* The DJ Equity All REIT Total Return Index measures the total return performance of the equity subcategory of the Real Estate Investment Trust (REIT) industry as calculated by Dow Jones.

* Yahoo! Finance is the source for any reference to the performance of an index between two specific periods.

* Opinions expressed are subject to change without notice and are not intended as investment advice or to predict future performance.

* Economic forecasts set forth may not develop as predicted and there can be no guarantee that strategies promoted will be successful.

* Past performance does not guarantee future results. Investing involves risk, including loss of principal.

* You cannot invest directly in an index.

* Consult your financial professional before making any investment decision.

* Stock investing involves risk including loss of principal.

* To unsubscribe from the “Peek of the Week”, please reply to this email with “Unsubscribe” in the subject line, or write us at: Hagen Financial Network, Inc. 4640 Nicols Road, Suite 203; Eagan, MN 55122.

Sources:

https://www.ft.com/content/584a9610-5ab8-11e8-b8b2-d6ceb45fa9d0 (or go to https://s3-us-west-2.amazonaws.com/peakcontent/+Peak+Commentary/05-21-18_FinancialTimes-US_Stocks_Mixed_Treasuries_Rally_as_Markets_Eye_Trade_Talks-Footnote_1.pdf)

http://press.vatican.va/content/salastampa/en/bollettino/pubblico/2018/05/17/180517a.html

https://bridebook.co.uk/article/harry-and-meghan-royal-wedding-cost

https://www.washingtonpost.com/amphtml/news/wonk/wp/2018/05/18/oil-was-the-only-thing-keeping-venezuela-afloat-now-the-government-is-too-dysfunctional-to-even-pump-it/?noredirect=on

https://www.ft.com/content/1e4ae576-5ac4-11e8-b8b2-d6ceb45fa9d0 (or go to https://s3-us-west-2.amazonaws.com/peakcontent/+Peak+Commentary/05-21-18_FinancialTimes-The_Week_in_Energy-Regulations_Unintended_Consequences-Footnote_5.pdf)

https://www.ft.com/content/a4049438-5aa0-11e8-bdb7-f6677d2e1ce8 (or go to https://s3-us-west-2.amazonaws.com/peakcontent/+Peak+Commentary/05-21-18_FinancialTimes-Disillusioned_Venezuelans_Set_to_Shun_Election-Footnote_6.pdf)

https://www.msn.com/en-us/travel/news/aaa-415m-travelers-for-memorial-day-weekend-a-5-25-hike-despite-higher-gas-prices/ar-AAxgCMK

https://www.wealthx.com/report/the-wealth-x-billionaire-census-2018/?utm_campaign=billionaire-census-2018&utm_source=press&utm_medium=referral&utm_term=bc-2018-press&utm_source=press&utm_medium=referral&mod=article_inline

https://www.forbes.com/billionaires/#1d1efa68251c

https://www.forbes.com/sites/jenniferwang/2018/03/06/richest-women/#446741af81f1

https://www.givingpledge.org/About.aspx (Click on “How many people have joined the Giving Pledge, and where are they from?”)

http://www.philanthropicpeople.com/2013/10/14/10-inspiring-philanthropy-quotes/

Monday, May 14, 2018

Unemployment at a staggering low point!

PEEK OF THE WEEK

May 14, 2018

Leif Hagen & Donna Roberts

The Markets

Splash!

How do employers lure staff in a tightening labor market? The curly tail grubs and spinnies of the business world are higher wages and better benefits.

During the past decade, the employment picture in the United States has shifted dramatically. In mid-2009, 15.4 million unemployed Americans were chasing 2.2 million available jobs. At the end of 2017, just 6.6 million Americans were unemployed, and employers were casting eagerly to fill 6.6 million open jobs, reports Barron’s.

Bloomberg offered some colorful examples:

“Want ads for truck drivers to haul crude oil in Texas are touting salaries as high as $150,000 a year. Some nurses are getting $25,000 signing bonuses. The U.S. unemployment rate just fell to 3.9 percent, one tick away from its lowest since the 1960s. And, on May 8, the Bureau of Labor Statistics reported there are 6.5 million unfilled jobs in the United States, the most on record. Some employers say they’re feeling the squeeze.”

Clearly, wages are moving higher for some types of jobs, but they’re not increasing everywhere. Last week, the Bureau of Labor Statistics reported real average hourly earnings for all employees were flat from March to April. ‘Real wages’ mean wages after inflation is subtracted.

The National Federation of Independent Business’ Small Business Optimism Index hit a record high in April, as small companies reported record profits. It was the 17^th consecutive month of record optimism.

Major U.S. stock market indices moved higher last week as did many global stock market indices.

Data as of 5/11/18	1-Week	Y-T-D	1-Year	3-Year	5-Year	10-Year
Standard & Poor's 500 (Domestic Stocks)	2.4%	2.0%	13.9%	9.0%	10.8%	6.9%
Dow Jones Global ex-U.S.	1.7	0.4	12.8	3.3	3.5	0.2
10-year Treasury Note (Yield Only)	3.0	NA	2.4	2.3	1.9	3.8
Gold (per ounce)	1.1	2.2	8.3	3.7	-1.5	4.1
Bloomberg Commodity Index	0.1	2.1	8.3	-4.5	-7.4	-8.3
DJ Equity All REIT Total Return Index	1.2	-3.7	3.1	6.0	5.8	6.4

Sources: Yahoo! Finance, Barron’s, djindexes.com, London Bullion Market Association.

Past performance is no guarantee of future results. Indices are unmanaged and cannot be invested into directly. N/A means not applicable.

What do you wish you had known before you became a parent? Mother’s Day is behind us and Father’s Day is ahead. It seems like a good time to consider the challenges and responsibilities of parenting.

National Public Radio’s Science Desk introduced a new series called, ‘How To Raise A Human.’ They kicked off the show by asking bloggers, “What's the one thing you wish someone had told you before you became a parent?” Here are a few of the answers:

“I wish someone told me that there are going to be moments where you're playing chess with speed metal music in your ears. You're trying to make intricate choices but there's so much chaos.”

--Alan Lawrence, That Dad Blog

“I wish someone had told me to block out the outside voices that come when you become a parent – and pay more attention to the children and what their needs are.”

--Saira Siddiqui, Confessions of a Muslim Mom

“I wish someone had told me that even though your life changes when you become a parent, you still get to create the path you want.”

--Drea Duclos, OhDearDrea

“Parents always told me to brace myself for the teen years, because that's when they'll hate you, be disrespectful to you, be sassy, talk back to you, be rude, be generally awful people. But I wish that someone had told me that's completely wrong.”

--Karen Walrond, Chookooloonks

One of the many challenges parents face is helping their children understand financial issues. If you would like some ideas about how to talk with your children about money, contact your financial professional.

Weekly Focus – Think About It

“I’m relieved I don’t work at SNL [right now]…The level of outrage is so high. It feels like talking to anyone, anywhere in 2018 is just landmine hopscotch.”

--Tina Fey, American actress, comedian, writer, and producer

Best Regards,