DeGroot Investment Advisors

03/23/2026

March Client-Letter

In the early hours of February 28, global markets were shaken by significant geopolitical developments, as the U.S. and Israel carried out coordinated strikes on Iran that resulted in the death of Iran’s Supreme Leader. Iran responded with missile strikes, which escalated tensions and raised uncertainty in global markets.

It’s not surprising to see heightened volatility in the early stages of a conflict, especially one without a clear endgame.

A short-term risk-off response, with pressure on equities and upward movement in oil prices (due to possible supply disruptions), is not surprising in this environment. The U.S. dollar has also strengthened, benefiting from global inflows as it resumes its traditional role as a safe-haven currency.

In moments like these, it’s natural to feel uneasy. Headlines are dramatic, markets react quickly, and uncertainty can make even seasoned investors uncomfortable.

But here’s what we want to emphasize:

1. Market volatility is normal during a geopolitical crisis
Market behavior in response to geopolitical events often follows a familiar pattern: a reaction—which can sometimes be sharp—a rise in volatility, and then a reset because investors attempt to price in the economic impact at home.
In the immediate aftermath of significant events, markets often stabilize more quickly than expected.
How the hostilities may impact the broader U.S. economy is unknown right now, but we believe it will play a bigger role for investors over the medium term.

2. Your financial plan and volatility
We design portfolios with the understanding that unforeseen events, including geopolitical tensions, economic shifts, and policy changes, will occur.
Your plan incorporates diversification, risk management, and long-term strategy to help reduce risk and weather periods of turbulence.

3. Staying invested remains the most reliable long-term approach
Times like these can tempt investors to make quick, emotion-driven moves. But historically, reacting to headlines has often led to worse long-term outcomes than sticking with the plan.
Markets have absorbed wars, recessions, pandemics, political crises, and unexpected global shocks, and long-term investors have historically been rewarded for their patience.

4. We are monitoring developments closely
While we don’t recommend making investment decisions based on short-term news or emotions, we continuously monitor the situation, the market response, and any potential implications for your portfolio.
If market conditions shift in a way that warrants action, we will communicate proactively.

Final thoughts
Events unfolding in the Middle East are serious, and markets may remain volatile in the coming days and weeks. But volatility alone is not a reason to abandon a well-constructed financial plan.
As always, we encourage you to reach out if you have questions, concerns, or simply want to talk through what this means for your personal financial goals. We’re here to provide clarity, perspective, and guidance, especially when the news feels overwhelming.
We get through moments like these by staying disciplined, thoughtful, and focused on what we can control.

Thank you for your ongoing trust.

Dirk DeGroot
DeGroot Investment Advisors, LLC.
1903 Austin St. Suite A
Klamath Falls, OR 97603
(541) 882-3614 (Office)
(541) 850-8728 (Fax)

Dirk DeGroot is a Registered Representative offering Securities and Advisory Services through UNITED PLANNERS FINANCIAL SERVICES, Member FINRA, SIPC. DeGroot Investment Advisors and United Planners are not affiliated.
Confidential Information: This message and any attachments contain information from United Planners Financial Services, which may be confidential and/or privileged, and is intended for use only by the addressee(s) named on this transmission. If you are not the intended recipient, or the employee or agent responsible for delivering the message to the intended recipient, you are notified that any review, copying, distribution or use of this transmission is strictly prohibited. If you have received this transmission in error, please (i) notify the sender immediately by e-mail or by telephone and (ii) destroy all copies of this message.
This material is created by Horsemouth. The views expressed are those of the author as of the date noted, are subject to change based on market and other various conditions. There is no guarantee that any statements of future expectations will come to fruition. All information presented is collected from sources believed to be reliable, but may not be guaranteed

Send a message to learn more

03/04/2026

It's NOT too late to make your contributions
Give us a call today so we can discuss the options with you

01/23/2026

January Client-Letter

A 2025 three-peat
The bull market that kicked off in late 2022 kept rolling through 2025, with the S&P 500 recording another impressive year, climbing 16.4% following back-to-back gains that exceeded 20% in 2023 and 2024.

Table 5: Key Index Returns
December % 2025 %
Dow Jones Industrial Average 0.7 13.0
Nasdaq Composite -0.5 20.4
S&P 500 Index -0.1 16.4
Russell 2000 Index -0.7 11.3
MSCI World ex-USA** 2.9 28.6
MSCI Emerging Markets** 2.7 30.6
Bloomberg US Agg Total Return -0.1 7.3

Source: Wall Street Journal, MSCI.com, Bloomberg, MarketWatch
December returns: November 28, 2025 – December 31, 2025
2025 returns: December 31, 2024 – December 31, 2025
**in US dollars

We did, however, experience a sharp but temporary pullback when so-called Liberation Day tariffs levied in early April generated an enormous amount of uncertainty. When steeper-than-anticipated tariffs were modified, volatility began to dissipate, and investors re-engaged amid positive fundamentals.

As we saw in 2024, the Federal Reserve lowered the fed funds rate. We believe it’s worth noting that recent rate cuts by the Fed came against a backdrop of continued economic growth, a key factor supporting corporate earnings.

Historically, rate cuts enacted during economic downturns have failed to lift equities, as seen in 2001 and 2008.

Profit growth also remained strong, which underpinned equities amid the expanding U.S. economy.

Moreover, the AI boom continued to fuel tech stocks and earnings. Just as in 2024, the tech-heavy Nasdaq Composite once again led the charge, outpacing other major U.S. indexes.

A 2025 surprise—the global arena

Global stocks have been hibernating for years. In 2024, the MSCI World Ex-USA Index posted a gain of just 2.0%, according to MSCI (in U.S. dollars). Its 10-year annualized gain of 2.6% per year paled in contrast to major U.S. market indexes.

Last year, however, global stocks awoke from their slumber, easily outpacing returns in the U.S.

For starters, a weaker dollar amplified global equities held by U.S. investors. A falling dollar boosts U.S. returns when foreign currencies are translated back into dollars. As referenced in the table of return, the MSCI ex-USA Index leapt 28.6%.

In contrast, the index in their respective home currencies rose 18.7%. That’s respectable, but not the turbo-charged returns U.S. investors experienced.

Other factors that bolstered returns around the world include

• Ongoing trade tensions and tariff uncertainty weighed on U.S. sentiment and encouraged investors to look at other markets.
• Many global markets sported lower valuations, attracting investors.
• Looser fiscal policies, especially in European countries, supported equities.
• Lingering doubts about the Fed’s independence from executive branch interference fueled diversification outside the US.

Last year’s outsized advance is a reminder that investments in global equities reduce home-country concentration and currency risk.

Aided by a drop in the dollar, gold also delivered an outstanding return. Globally, gold is priced in dollars, and a weaker dollar tends to support the price of gold. In addition, gold was supported by modest global central bank purchases, tariff and trade uncertainty, questions about the Fed’s independence, and Fed rate cuts.

Investors wary of heightened geopolitical tensions and other risks, like the ballooning U.S. deficit, also aided the shiny metal.

While many of the factors that supported gold last year remain in place as we enter 2026, we would be remiss not to caution that gold is very speculative, and price action can be very volatile.

The New Year
According to CNBC’s 2026 survey of 14 market strategists, the average year-end target for the S&P 500 is 7,628.57.

In part, many of the themes that supported stocks last year remain in place. The economy is expanding, and corporate profits are expected to remain on an upward trajectory. Although the Fed is eyeing fewer rate cuts this year, it isn’t currently considering rate hikes amid an inflation rate that remains modestly but stubbornly above the Fed’s target rate of 2%.

But a note of caution is in order. Strategists bring unique observations to our attention. We are better informed due to their diligence and insights. They really are brilliant men and women.
But they grapple with the unknown, and no one knows precisely how the future will unfold.

Yet, the unknown encourages us to get comfortable with some degree of risk. It allows us to become better and more disciplined investors.

Final thoughts
While diversification can’t fully shield a portfolio from market pullbacks, it remains one of the most effective ways to reduce volatility and pursue long-term financial goals.

Our investment philosophy is rooted in experience and supported by rigorous academic research. While equities will inevitably disappoint, history has demonstrated that patient, disciplined investors are consistently rewarded over the long term.

I trust you found this review to be insightful. If you have any questions or simply want to talk through your portfolio or other financial goals, please don’t hesitate to reach out to me or anyone on our team.

We’re always here for you.

Dirk DeGroot
DeGroot Investment Advisors, LLC.
1903 Austin St. Suite A
Klamath Falls, OR 97603
(541) 882-3614 (Office)
(541) 850-8728 (Fax)

Dirk DeGroot is a Registered Representative offering Securities and Advisory Services through UNITED PLANNERS FINANCIAL SERVICES, Member FINRA, SIPC. DeGroot Investment Advisors and United Planners are not affiliated.
Confidential Information: This message and any attachments contain information from United Planners Financial Services, which may be confidential and/or privileged, and is intended for use only by the addressee(s) named on this transmission. If you are not the intended recipient, or the employee or agent responsible for delivering the message to the intended recipient, you are notified that any review, copying, distribution or use of this transmission is strictly prohibited. If you have received this transmission in error, please (i) notify the sender immediately by e-mail or by telephone and (ii) destroy all copies of this message.
This material is created by Horsemouth. The views expressed are those of the author as of the date noted, are subject to change based on market and other various conditions. There is no guarantee that any statements of future expectations will come to fruition. All information presented is collected from sources believed to be reliable, but may not be guaranteed

Send a message to learn more

12/04/2025

Come in and see us before the New Year to discuss opening an account with us!

11/14/2025

November Client-Letter

October delivers further stock market gains
October has a curious reputation rooted in market history.

The Crash of 1929 (a 13% selloff on Black Monday and 12% on Black Tuesday, according to Federal Reserve History), the Crash of 1987 (a 22% selloff in October per MarketWatch data), and the financial crisis of 2008 (a 17% decline in October) have all contributed to the month’s spooky reputation.
But does perception match reality? Since 1970, October averages a 0.91% return for the S&P 500 Index (dividends not reinvested), according to S&P 500 data from the St. Louis Federal Reserve. Between 2010 and 2024, October sports an average monthly advance of 2.13%, which is eclipsed only by November and July.
Last month’s action was generally in line with the long-term averages.

Key Index Returns
MTD % YTD %
Dow Jones Industrial Average 2.5 11.8
Nasdaq Composite 4.7 22.9
S&P 500 Index 2.3 16.3
Russell 2000 Index 1.8 11.2
MSCI World ex-USA** 1.0 23.9
MSCI Emerging Markets** 4.1 30.3
Bloomberg US Agg Total Return 0.6 6.8

Source: Wall Street Journal, MSCI.com, Bloomberg, MarketWatch
MTD returns: September 30, 2025–October 31, 2025
YTD returns: December 31, 2024–October 31, 2025
**in US dollars

More impressively, the major market averages—the Dow, the S&P 500 Index, and the Nasdaq Composite—have all been up in each month—six straight monthly gains—since May.
As we briefly noted last month, government shutdowns typically have little impact on equities, and last month was no exception. Broadly speaking, the absence of all but essential government services does not have a lasting impact on the economy.

We did, however, experience a brief bout of volatility during the month when the president threatened punitive tariffs against China, which was primarily in response to China’s decision to tighten export controls on rare earth minerals and related technologies.
Rare earth minerals are crucial for manufacturing various high-tech products and military equipment, and China dominates the global supply chain.
However, cooler heads prevailed. As part of the truce, China agreed to delay its new export restrictions, and the president lowered some tariffs.

What were the major catalysts behind last month’s rally?
1. The government shutdown has delayed key economic data, but investors aren’t flying blind. In addition to private sources of data, investors are carefully combing through Q3 corporate profits, which have been quite strong overall, according to LSEG.
2. The ongoing boom in AI continues unabated and has been fueling investor enthusiasm.
3. The Federal Reserve delivered a widely expected quarter-point rate cut.
4. While Fed Chief Jay Powell tempered market enthusiasm by signaling that a December cut is far from certain, investors chose to focus on the generally favorable economic fundamentals, including solid corporate profits and the expanding economy

Overall, October continued the upward momentum that began in May, driven by a combination of solid economic fundamentals, a stable interest rate environment, and the ongoing AI revolution, which remained a key catalyst for gains among large-cap tech firms.
I trust you have found this review informative and helpful. If you have any questions or would like to discuss any other topics, please don’t hesitate to reach out to me or any member of our team.
Thank you for choosing us as your financial advisor. We are truly honored by your trust and remain committed to serving you with integrity and care.

Dirk DeGroot
DeGroot Investment Advisors, LLC.
1903 Austin St. Suite A
Klamath Falls, OR 97603
(541) 882-3614 (Office)
(541) 850-8728 (Fax)

Dirk DeGroot is a Registered Representative offering Securities and Advisory Services through UNITED PLANNERS FINANCIAL SERVICES, Member FINRA, SIPC. DeGroot Investment Advisors and United Planners are not affiliated.
Confidential Information: This message and any attachments contain information from United Planners Financial Services, which may be confidential and/or privileged, and is intended for use only by the addressee(s) named on this transmission. If you are not the intended recipient, or the employee or agent responsible for delivering the message to the intended recipient, you are notified that any review, copying, distribution or use of this transmission is strictly prohibited. If you have received this transmission in error, please (i) notify the sender immediately by e-mail or by telephone and (ii) destroy all copies of this message.
This material is created by Horsemouth. The views expressed are those of the author as of the date noted, are subject to change based on market and other various conditions. There is no guarantee that any statements of future expectations will come to fruition. All information presented is collected from sources believed to be reliable, but may not be guaranteed

Send a message to learn more

10/15/2025

Come in and see us for some FINANCIAL ADVICE and open an account with us TODAY!

09/25/2025

September Client-Letter

The sun shines through the shadows of August
August and September have historically been the worst months for investors, specifically as measured by S&P 500 data compiled by the St. Louis Federal Reserve.

Since 1970, August has averaged an advance of just 0.13% (through 2024), the second-worst month, while September has recorded a loss of 0.91%.

A review of the historical market data can spark interesting conversations.

It’s not unusual to spot patterns from time to time, but what has happened in the past does not necessarily foreshadow what will come to pass. There is no guaranteed outcome. In the end, market fundamentals or unexpected events can easily override any trends we spot in the data.

Upward movement
As the month unfolded, many of the catalysts that spurred new highs for the S&P 500 Index and the Nasdaq Composite this year remained in place.

Fueled by growing expectations of a September rate cut, the Dow surged to its first all-time high of 2025.


Key Index Returns
MTD % YTD %
Dow Jones Industrial Average 3.2 7.5
Nasdaq Composite 1.6 1.1
S&P 500 Index 1.9 9.8
Russell 2000 Index 7.0 6.1
MSCI World ex-USA** 4.2 20.4
MSCI Emerging Markets** 1.2 17.0
Bloomberg US Agg Total Return 1.2 5.0
Source: Wall Street Journal, MSCI.com, Bloomberg, MarketWatch
MTD returns: July 31, 2025—August 29, 2025
YTD returns: December 31, 2024—August 29, 2025
**in US dollars

Before we move ahead, let’s review the key catalysts that have underpinned stocks.

• The AI story remains intact,
• Longer-term bond yields have remained relatively stable, especially regarding the benchmark 10-year Treasury bond yield,
• The Fed appears to be gearing up for a September rate cut,
• Corporate profits are rising—second quarter S&P 500 earnings are up an impressive 13% versus one year ago, according to LSEG,
• The economy continues to expand, and
• Many of the larger firms seem to have weathered the initial shock of the early April tariff announcement—so-called Liberation Day, though how tariffs will eventually be integrated and absorbed is unclear.

Specifically, let’s look at one event that led to an 846-point advance for the Dow and a record close of 45,632 on Friday, August 22.

We tend to avoid getting overly granular regarding a one-day response by investors, but the conversation has broader implications.

On the morning of the 22nd, Fed Chief Jerome Powell, in prepared remarks that lasted about 20 minutes, noted that “the shifting balance of risks may warrant adjusting our policy stance.”

It was the signal investors had been waiting for. Why? Let’s translate Powell’s “King James version” into modern-day English.

In essence, Powell’s remarks signaled that policymakers are actively considering a rate cut in September because they are cautiously eyeing the slowdown in job growth.

Sure, inflation hasn’t returned to the Fed’s 2% target, and progress has stalled over the past year. But with job growth slowing, the Fed is treading carefully, aiming to avoid curbing inflation at the expense of the labor market.

Whether it’s a one-and-done cut in September (assuming the Fed moves this month) or policymakers tweak the rate again later in the year (there are three meetings left this year, including September) is unknown, but all eyes are on the labor market, which could play a key role in shaping the Fed’s next steps.

Separately, as the three-day Labor Day weekend began, an appeals court ruled that most of the president’s tariffs are illegal, but they will remain in place pending an appeal; the ruling largely upheld a decision that was rendered in May.

Ultimately, much of the president’s trade policy may be decided by the nine justices that make up the Supreme Court.

I trust you have found this review informative and helpful. If you have any questions, concerns, or would simply like to have a conversation, please don’t hesitate to reach out to me or any member of our team.

Thank you for choosing us as your financial advisor. We are truly honored by your trust and remain committed to serving you with integrity and care.


Dirk DeGroot
DeGroot Investment Advisors, LLC.
1903 Austin St. Suite A
Klamath Falls, OR 97603
(541) 882-3614 (Office)
(541) 850-8728 (Fax)

Dirk DeGroot is a Registered Representative offering Securities and Advisory Services through UNITED PLANNERS FINANCIAL SERVICES, Member FINRA, SIPC. DeGroot Investment Advisors and United Planners are not affiliated.
Confidential Information: This message and any attachments contain information from United Planners Financial Services, which may be confidential and/or privileged, and is intended for use only by the addressee(s) named on this transmission. If you are not the intended recipient, or the employee or agent responsible for delivering the message to the intended recipient, you are notified that any review, copying, distribution or use of this transmission is strictly prohibited. If you have received this transmission in error, please (i) notify the sender immediately by e-mail or by telephone and (ii) destroy all copies of this message.
This material is created by Horsemouth. The views expressed are those of the author as of the date noted, are subject to change based on market and other various conditions. There is no guarantee that any statements of future expectations will come to fruition. All information presented is collected from sources believed to be reliable, but may not be guaranteed

Send a message to learn more

06/23/2025

We hope you have a wonderful Summer

05/20/2025

May Client-Letter

Tariff talk dominates

Stocks began the month on a steep downward trajectory, experiencing losses reminiscent of the early pandemic lockdowns. However, by the end of the month, shares had managed to erase most of the early losses.

What happened?
Two primary events dominated the conversation during the month. First, the imposition of ‘reciprocal tariffs on April 2, and second, the president’s threat to fire Fed chief Jerome Powell one year before his term expires.
Referred to as “Liberation Day,” President Trump unveiled tariffs that far exceeded investor expectations. As reported by Bloomberg, these tariffs marked the highest levels imposed in more than a century.
While the tariffs may simply serve as a negotiating tactic, the resulting two-day selloff wiped 10.5% off the S&P 500 Index, according to MarketWatch data. This significant drop underscored investor worries that the U.S. economy might be in danger of entering a recession.
It was the perfect storm: falling stock prices, falling bond prices, and a lower dollar brought on by fears that extremely high barriers to trade could raise inflation, disrupt global trade, and possibly lead to a recession.
The adverse response in the financial market prompted the president to postpone reciprocal tariffs for 90 days, as he aimed to negotiate new trade agreements. He subsequently stated that he is willing to consider extending the initial delay.

According to Bloomberg News, the delay fueled the third-largest daily increase in the S&P 500 Index since the end of World War II.

Replacing the Fed chief

Trump has never been shy about expressing his displeasure with Fed chief Powell. On various occasions, he has publicly pushed Powell to reduce the fed funds rate. It’s not as if prior presidents haven’t pressured the Fed on rates, as former Fed Chair Alan Greenspan said in a 2018 CNBC interview, but it is usually done behind closed doors.
But later in the month, Trump upped the ante, threatening to fire Powell in a tweet on his social media site.
Can the president dismiss the chair of the Federal Reserve? Many legal experts believe he lacks the power to do so without cause. Nevertheless, entering this uncertain legal territory could lead to a swift market response, which encouraged the president to retract his threat to remove Powell.
Why do U.S. and global investors prize an independent Federal Reserve?
Although the Fed does not operate in a political vacuum, “A politicized central bank opens the door to higher inflation, higher interest rates (bond yields), and a loss of confidence in the American financial system,” Morningstar said in a late-April analysis.
“If the U.S. financial and political system is perceived as unstable, foreign investors may demand a higher return on their money to compensate for those risks,” the firm added.
In addition, many investors fear that a highly politicized Fed would maintain a low fed funds rate, which they worry could lead to a lasting rise in inflation and elevated bond yields. This concern is not limited to just one political party.
With the exception of China, the worst of the tariffs are on hold, and Powell’s job appears safe. Subsequently, investors cautiously nibbled on beaten-down stocks, erasing most of April’s early losses.

Key Index Returns
MTD % YTD %
Dow Jones Industrial Average -3.2 -4.4
Nasdaq Composite 0.9 -9.7
S&P 500 Index -0.8 -5.3
Russell 2000 Index -2.4 -11.9
MSCI World ex-USA** 4.2 9.9
MSCI Emerging Markets** 1.0 3.5
Bloomberg US Agg Total Return 0.4 3.2
Source: Wall Street Journal, MSCI.com, Bloomberg, MarketWatch
MTD returns: March 31, 2025 – April 30, 2025
YTD returns: December 31, 2024 – April 30, 2025
**in US dollars

Bottom line

First quarter earnings have been exceeding expectations, according to LSEG. Coupled with the president’s lighter approach to trade and easing of China trade tensions, markets calmed considerably by the end of April.
Yet, a weak first-quarter Gross Domestic Product suggests the economy is slowing, and the possibility of a recession cannot be discounted.
When market volatility increases, we continue to suggest the approaches we have discussed in the past.

Keep your investments diversified, be aware of your risk tolerance during market downturns, concentrate on your long-term objectives, and refrain from making decisions based solely on the unavoidable fluctuations in market activity.

I trust this review has been informative.
If you have any concerns or would simply like to talk, please contact me or any team member.
Thank you for choosing us as your financial advisor. We are honored and humbled by your trust.

Dirk DeGroot
DeGroot Investment Advisors, LLC.
1903 Austin St. Suite A
Klamath Falls, OR 97603
(541) 882-3614 (Office)
(541) 850-8728 (Fax)

Dirk DeGroot is a Registered Representative offering Securities and Advisory Services through UNITED PLANNERS FINANCIAL SERVICES, Member FINRA, SIPC. DeGroot Investment Advisors and United Planners are not affiliated.
Confidential Information: This message and any attachments contain information from United Planners Financial Services, which may be confidential and/or privileged, and is intended for use only by the addressee(s) named on this transmission. If you are not the intended recipient, or the employee or agent responsible for delivering the message to the intended recipient, you are notified that any review, copying, distribution or use of this transmission is strictly prohibited. If you have received this transmission in error, please (i) notify the sender immediately by e-mail or by telephone and (ii) destroy all copies of this message.
This material is created by Horsemouth. The views expressed are those of the author as of the date noted, are subject to change based on market and other various conditions. There is no guarantee that any statements of future expectations will come to fruition. All information presented is collected from sources believed to be reliable, but may not be guaranteed

Send a message to learn more

03/12/2025

March Client-Letter

An IRA, or Individual Retirement Account, is intended to assist you in saving
for retirement.
As the name implies, the account is for an individual. It cannot be held jointly
with your spouse or another person.
An IRA offers significant advantages, including:
Tax advantages include tax-free growth on Roth IRA accounts and tax deferred growth on traditional IRAs. You may also be able to deduct
contributions on traditional IRAs.
You have plenty of flexibility to develop a strategy to help you achieve your
retirement goals.
Tax-deferred accounts allow you to take full advantage of compounded
growth over a long period of time.
IRA accounts provide you with financial support in retirement that
goes above what you will receive from a pension or Social Security.
Before we go on, our review provides insights into different retirement
accounts, but it is not all-encompassing. If you have additional questions,
please feel free to reach out to one of our team members, or you may consult
with your tax advisor with specific tax questions.
That said, let’s review the traditional IRA, and the Roth IRA.

1. Traditional IRAs
• Contributions may be tax deductible.
• Funds in the account grow tax deferred.
• Withdrawals after 59½ years old are taxed as ordinary income.
• Withdrawals prior to 59½ may be subject to a 10% penalty, and
• Required minimum distributions (RMDs) begin at age 73.

Contributions
Beginning in 2024, the IRA contribution limit increased by $500 to $7,000;
the annual limit is $8,000 if you are 50 years of age or older. These limits remain in effect for 2025.
Withdrawals
After 59½, you will pay ordinary income tax if you withdraw funds from your traditional IRA account. There is no penalty.

2. Roth IRAs
Roth IRAs are similar to traditional IRAs, with some important exceptions.

1. Contributions are not tax deductible.
2. If you satisfy the requirement's, qualified distributions are tax-free.
3. You can leave funds in your Roth IRA as long as you live (there is no RMD).

Contributions
Contribution limits remain the same as those of a traditional IRA.
Withdrawals
You may withdraw contributions at any time, tax-free and penalty-free, as you have already paid income taxes on the contribution. Other rules may apply to withdrawals.

Summary
Retirement accounts provide numerous benefits. We believe that they are essential for a secure retirement. As we’ve highlighted, they offer flexibility but also introduce a certain level of complexity. We want to emphasize that we are here to assist you with questions you may have.

Tariffs and Economic Uncertainty

Following the election, optimism surged amid the belief that the new president would follow through with plans to pare back regulations that stifle businesses and extend the tax cuts passed in 2017. From an investor's perspective, so far, so good.
But candidate Donald Trump also pledged that he would enact tariffs on countries he believed were not playing fairly with U.S. manufacturers and U.S. exporters.
The 47th president has been in office for just over one month, and he’s wasted little time on the tariff front.
But why are tariffs important to investors? A better question is: Why do investors fear tariffs?
Sweeping tariffs have the potential to affect the broader U.S. economy.
• First, tariffs are a tax, and tariffs on imported goods will raise prices at home if the importer or retailer doesn’t absorb the new tax. The significant increase in levies on Canadian, Mexican, and Chinese goods strongly suggests they cannot be fully absorbed, which would lead to higher prices. According to the U.S. Census, these three nations are the top providers of goods imported into the United States ($1.4 trillion last year).
• Next, barriers erected by the U.S. will likely be met by higher barriers for U.S. exporters as countries retaliate. That may restrain production among U.S. manufacturers.
• Tit for tat: Investors are also worried that countermeasures could lead to a rapid escalation of any trade war.
• Finally, tariffs introduce uncertainty into the economic narrative, which may undermine business and consumer confidence. In turn, businesses may reduce spending until the dust settles.
Meanwhile, various economic reports suggest that U.S. economic growth may be slowing down. However, we also recognize that economic data can fluctuate from month to month, and one month does not establish a trend. It’s possible that the recent slowdown in economic activity is related to the weather, as some parts of the nation have experienced severe cold.
Nonetheless, we have seen a rotation out of riskier segments of the market and into more defensive issues. Although the major U.S. indexes fell last month, the Dow, which has underperformed in the past two years, is emerging as a frontrunner as we begin 2025.
Additionally, bonds have been a beneficiary of market uncertainty.

Table 3: Key Index Returns

Index MTD % YTD %
Dow Jones Industrial Average -1.6 3.1
NASDAQ Composite -4.0 -2.4
S&P 500 Index -1.4 1.2
Russell 2000 Index -5.4 3.0
MSCI World ex-U.S.A.** 1.6 6.6
MSCI Emerging Markets** 0.4 2.0
Bloomberg U.S. Agg Total Return 2.2 2.7
Source: The Wall Street Journal, MSCI.com, Bloomberg, MarketWatch
MTD returns: January 31, 2025–February 28, 2025
YTD returns: December 31, 2024–February 28, 2025
**in US dollars

Final thoughts
There are few indications today that the economy is poised to roll over. S&P 500 profits were strong in the fourth quarter and are on pace to rise 17%, according to LSEG. Earnings growth and stable interest rates have clearly underpinned equities.
But we are mindful that market pullbacks cannot be discounted, even during an economic expansion. We have had discussions with you that have enabled us to design a roadmap to achieve your financial goals. This roadmap allows for increased objectivity and
helps remove emotional biases that can sometimes infiltrate the decision-making process.
A diversified portfolio cannot completely shelter you from market pullback, but it helps reduce volatility while tapping into the wealth-creating potential that stocks have offered over the long term.
I trust you have found this review to be informative. If you have any inquiries or wish to discuss any other matters, please don’t hesitate to contact me or any team member.
Thank you for choosing us as your financial advisor. We are honored and humbled by your trust.

Dirk DeGroot
DeGroot Investment Advisors, LLC.
1903 Austin St. Suite A
Klamath Falls, OR 97603
(541) 882-3614 (Office)
(541) 850-8728 (Fax)

Dirk DeGroot is a Registered Representative offering Securities and Advisory Services through UNITED
PLANNERS FINANCIAL SERVICES, Member FINRA, SIPC. DeGroot Investment Advisors and United
Planners are not affiliated.
Confidential Information: This message and any attachments contain information from United Planners Financial
Services, which may be confidential and/or privileged, and is intended for use only by the addressee(s) named on this
transmission. If you are not the intended recipient, or the employee or agent responsible for delivering the message to the
intended recipient, you are notified that any review, copying, distribution or use of this transmission is strictly prohibited. If
you have received this transmission in error, please (i) notify the sender immediately by e-mail or by telephone and (ii)
destroy all copies of this message.
This material is created by Horsemouth. The views expressed are those of the author as of the date noted, are subject to
change based on market and other various conditions. There is no guarantee that any statements of future expectations
will come to fruition. All information presented is collected from sources believed to be reliable, but may not be guaranteed

Send a message to learn more