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Dorion-Gray Capital Management® Weekly Commentary February 15, 2016

| February 16, 2016
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Wall Street rebounded preceding the three-day holiday weekend. Despite Friday’s rally, all three indexes posted losses for the week, thanks to the earlier selloff. Markets were closed Monday in observation of the Presidents’ Day holiday. For the week, the Dow fell 1.23 percent to close at 15,925.00. The S&P lost 0.72 percent to finish at 1,860.00, and the NASDAQ dropped 0.59 percent to end the week at 4,015.25.

Taxes –

The top 10 percent of taxpayers in 2013 earned at least $127,695 in adjusted gross income (AGI), reported 45.87 percent of all AGI nationwide and paid 69.80 percent of all federal income tax (source: Internal Revenue Service, BTN Research).

Was the Best –

The top performing individual stock within the S&P 500 in calendar year 2015 gained 134 percent. That same stock fell 20 percent in January 2016 (source: BTN Research).

Strength of the Dollar -

The U.S. dollar gained 26.6 percent against the Euro from 2014-2015. A stronger dollar not only impacts the sale of U.S. products abroad (as more of the weaker foreign currency is needed to complete the purchase) but also translates into smaller profits for American multinational companies when their foreign sales are converted back into pricier dollars. Foreign sales account for 46.3 percent of the revenues of the average S&P 500 company (source: BTN Research).

WEEKLY FOCUS – Long-Term Care Alternatives for Boomers

With their sheer numbers and unique approach to life, baby boomers have forever changed the landscape of the country. Experts predict they will continue to have a dramatic impact going forward as they face the challenges of increased medical needs and concerns over long-term care.

Certainly, changes will be required. The country’s medical workforce is already stretched, and the shortage is expected to worsen. The costs of long-term care are steadily escalating, and many boomers don’t have adequate savings or insurance to cover them. Even those that do don’t view life in a nursing home in a positive light.

Thankfully, there are some bright spots on the horizon. Advances in technology may reduce pressures on medical professionals and offer additional options for seniors. Virtual and e-health medical care is growing in popularity. We now have software that monitors vital signs and tells patients when to take medications. There is an app that allows seniors to let caregivers know what they ate, what medications they took and how they are feeling. Traditional emergency-response services enable users to easily call for help; others employ activity sensors in seniors’ homes, sending an alert whenever typical actions are not taken. Two-way video conversations can replace some health aid home visits.

A substantial number of older Americans is able to avoid or delay long-term care by living with other family members. In response to this growing need, new home plans frequently include mother-in-law suites or two master suites.

Area Agency on Aging offices offer a variety of services in the home and community to help seniors retain their independence, including meal delivery, recreational activities, transportation, housekeeping help, senior companions and even assistance with minor home repairs. As boomers age, this assistance will undoubtedly increase to meet growing demands.

While it’s great to have an optimistic outlook and hope you never need long-term care, it’s always best to plan for the unplanned. I would be happy to meet with you to review your plan for long-term care and discuss changes you might consider to better prepare for retirement.

The Dorion-Gray Team

Securities offered through Securities America, Inc., Member FINRA/SIPC. Advisory services offered through Securities America Advisors, Inc. a Registered Investment Advisory Firm. Dorion-Gray Retirement Planning is a trade name of Dorion-Gray Financial Services, Inc. located at 2602 IL Route 176, Crystal Lake, IL 60014. Dorion-Gray and the Securities America companies are separate, unaffiliated entities.

Diversification seeks to reduce the volatility of a portfolio by investing in a variety of asset classes. Neither asset allocation nor diversification guarantee against market loss or greater or more consistent returns.

© 2013. Dorion-Gray Financial Services, Inc.

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