Happy Spring, Clients and Friends!

The saying, "in like a lion, out like a lamb," is always an apt description for the Spring season with its rapidly changing weather patterns and broad temperature swings. It’s not unusual to experience severe conditions as warm and cold fronts collide, causing flooding, tornados, and late season snowstorms. Yet despite the day-to-day unpredictability, Spring always manages to make good on its promise to usher in milder temperatures and renewed growth.

Spring reminds us that transitions aren’t always easy or predictable. Sudden change can leave people feeling uneasy and unprepared for what lies ahead. That’s why planning for life’s transitions is so important. While, unlike Spring, we can’t promise a bed or roses, we can offer tools, educational resources, and guidance tailored to your financial goals, to help you plan for and navigate life’s transitions.

As part of our ongoing commitment to provide services and resources that not only seek to meet today’s needs, but help to enhance tomorrow’s Return on Life^®, we want you to be the first to know about our exciting new Plan of Care program.

Introducing Return on Life Wealth Partners Plan of Care

As financial stewards, one of our most important roles is supporting families through life’s many transitions, including those related to aging and independence. By incorporating elder care considerations into the wealth management process, our Plan of Care program assists families in navigating the complexities of aging so they can make informed decisions as they prepare for future care needs. Our structured approach encourages proactive discussions and planning around four key areas:

• Living Arrangements – Explore options such as aging in place, assisted living, or skilled care facilities
• Care Providers – Identify potential support from family members, in-home aides, or medical professionals
• Funding Care – Review possible payment sources, including insurance, personal savings, or family contributions
• Quality of Life – Address preferences related to independence, dignity, and social engagement

Our PLAN OF CARE GUIDE is designed to help initiate and facilitate conversations about future care needs between parents and their adult children. The guide makes it easy for older adults to document their preferences in each of the categories listed above, well in advance of needing care or experiencing an event requiring a sudden change in living arrangements. Your completed Plan of Care guide can be shared with family members, caregivers, and your professional advisors, at your discretion. Clients of Return on Life Wealth Partners can upload the guide to their secure online vault within the WealthVision^TM site.

This issue of Frank Talk is also filled with other news and resources you may find helpful, including a link to the recording of our recent Market Noise Live Webinar: Market Update and details about the exciting new venue for our 17^th Annual Cleveland Economic Summit taking place this fall. And be sure to read our Market & Economic Update providing insights on recent market activity and our expectations for the weeks ahead.  

As you and your family continue to pursue your Return on Life^®, we encourage you to reach out to your dedicated team whenever questions arise or when circumstances in your life change. If you need additional support––or if someone you know could benefit from our guidance––remember, we’re only a phone call away at 440.740.0130.

What’s In It for You?

At-a-glance guide to your 2nd Quarter 2025 Frank Talk newsletter:

• News & Events
  • Awards & Recognition
    • Frank Fantozzi named a Forbes Best-in-State Wealth Manager for 8^th time
    • Cynthia Yang Receives Smart Business Progressive Woman Award
    • Client Liaisons Lesia Marshek and Brandy Draper join the team
       
  • Upcoming Events
    • Smart Business Dealmakers Conference – June 12^th
    • 17^th Annual Cleveland Economic Summit – September 30^th – Check out the new location!
      
      
  • Recent Events
    • Market Noise Live webinar – Access our live recording!
    • Frank Participates in PDA Succession Planning Panel Discussion
    • Chelsea Hussey is Featured on Media Rebel Podcast
    • Frank Attends 2025 Exit Planning Summit
    • ROL in the Community
      
      
• Resources
  • NEW! Plan of Care Guide
  • 2025 Federal Tax Rates At-a-Glance
  • 2024-2025 Tax Planning Guide
  • Complimentary Second Opinion Service
  • Visit Our Blog and Podcast and Join Us on Social Media
    
    
• Market & Economic Update

News & Events

Team Updates

Frank Fantozzi is Named a Forbes Best-In-State Wealth Advisor for 8^th Consecutive Year

Frank Fantozzi, CPA, MST, PFS, CDFA, AIF^®, CEPA, President and Founder of Return on Life^® Wealth Partners was ranked No. 42 out of 221 wealth advisors named to the Forbes│SHOOK 2025 Best-In-State Wealth Advisors list for Ohio. This marks the 8^th consecutive year he has been named to the prestigious list. The annual ranking spotlights the nation’s top-performing advisors, evaluated based on criteria that includes industry experience, client retention, and assets under management.* 

Join Us in Welcoming Two New Client Liaisons to Our Team: Lesia Marshek and Brandy Draper  

Lesia A. Marshek joined our team in April with nearly 30 years of financial and client services experience, including eleven years as a financial analyst for an Akron, Ohio-based wealth management firm and 17 years at GAIN Capital Securities, Inc. where she was a Registered Representative and Compliance Administrator in the brokerage firm’s Beachwood, Ohio office. Lesia attended DeVry Institute of Technology in Columbus, Ohio where she focused on Computer Science.

Brandy Draper joined us in May with more than two decades of experience in client service, administrative management, and marketing. Most recently, she was a Client Service Manager at a Cleveland-based wealth management firm. Prior to that, she was an Administrative Assistant for LPL Financial in Canton, Ohio, and Executive Director for the Akron Executives Association. Brandy earned a Bachelor of Science in Business Administration and Marketing Management from The University of Akron in 2005.

Both Lesia and Brandy work closely with our team of wealth managers and associates to help  support a quality experience for our clients through the delivery of timely, relevant, and proactive investment and wealth management services tailored to each client’s specific needs and preferences.

Upcoming Events

Smart Business Dealmakers Conference/Cleveland – June 12^th

The Smart Business Dealmaker’s Conference will take place on June 12, 2025 at Hotel Cleveland. Return on Life Wealth Partners is an event sponsor, and Frank is a member of the host committee once again for this year’s middle-market dealmakers conference.

Save the Date! The 17^th Annual Cleveland Economic Summit – September 30^th

We’re excited to announce a new venue for the 17th Annual Cleveland Economic Summit.  The Summit will take place on Tuesday, September 30^th from 4:00 pm – 6:30 pm at the Cleveland Metroparks Zoo – Stillwater Place. Stillwater Place is the Zoo's elegant, state-of-the-art reception event center featuring a spectacular view of the scenic Waterfowl Lake.

This year’s featured speakers are First Trust Economist, Bryce Gill, who will provide insights on the markets and economy, and Greg Manger, Senior Client Portfolio Manager with Franklin Equity Group (Franklin Templeton), who will address how artificial intelligence (AI) is reshaping industries and economies. Watch for more information about this exciting event in the months ahead!

Stay tuned for information on these upcoming events

• Smart Business - Family Business Conference & Awards (September)
• Market Noise Live! webinar (October)
  
  

Recent Events

Market Noise Live Webinar: Market Update – Download our live recording!

Frank Fantozzi hosted a Market Noise Live Webinar on April 10^th, along with wealth advisors Cynthia Yang, CFA^®, CAIA^®, CIPM and Chelsea Hussey, CLU^®, ChFC^®, CFP^®. Together they shared perspectives on recent market and economic activity. If you missed it, or would like to revisit the webinar, click on the link below to access the live recording to hear about:

• How AI and policy changes are influencing the markets
• What this could mean for your business and personal investment planning
• Steps our team is taking to help manage portfolio risk and position client portfolios for long-term success

Market Noise Live Webinar

Frank Participates in PDA Succession Planning Panel Discussion

Frank participated in a panel discussion on Succession Planning for Family-Owned Businesses at a Private Directors Association - Cleveland Chapter event on May 7, 2025 held at the Vitamix company headquarters in North Olmstead, Ohio. As a Certified Exit Planning Advisor (CEPA^®), Frank was one of three speakers who shared knowledge and perspectives on succession planning for family-owned businesses.

Chelsea Hussey is Featured on Media Rebel Podcast

Wealth Advisor Chelsea Hussey, CLU^®, ChFC^®, CFP^® shared her take on women, wealth, and financial empowerment as a guest on Media Rebel’s podcast in May. Visit Wealth & Women: Smart Finance Beyond Social Media for Chelsea’s thoughts on navigating adversity, discovering a passion for finance, and building deep, trust-based relationships through education and empathy.

Frank Attends 2025 Exit Planning Summit

Frank recently attended the 2025 Exit Planning Summit, the industry's premier event for exit planning professionals. By joining top advisors from around the world, Frank continues to deepen his knowledge in value acceleration and best practices, so we can continue to elevate the guidance we provide to the business owners we serve.

Wealth Advisor Cynthia Yang Attends CFA Institute Live 2025

Wealth Advisor Cynthia Yang recently attended the CFA Institute Live 2025 event in Chicago, an annual gathering of investment professionals focused on exploring new ideas and addressing key challenges shaping the future of the financial industry. In addition to the thought-provoking sessions, Cynthia participated in a community art project along with fellow attendees. The group created paintings that will be donated to a local children’s hospital—an experience that combined professional learning with meaningful community impact.

Frank is Panelist on CWRU Immel Speaker Series – Wealth Management

On April 25^th, Frank joined two other Case Western Reserve University alumni and financial services industry veterans for a panel discussion with CWRU students as part of the Immel Speaker Series on Wealth Management. The panelists shared career insights and answered questions from students exploring finance as a profession.

ROL in the Community

The Return on Life Wealth Partners team recently volunteered at Shoes and Clothes for Kids, where we toured their incredible facility and helped unpack, fold, and organize clothing for children in need. We’re grateful for the opportunity to support organizations like this that make such a difference in our local communities. 

Resources

Plan of Care Guide

Our Plan of Care Guide was developed to assist families in navigating the complexities of aging by encouraging proactive discussions and planning around four key areas:

• Living Arrangements – Explore options such as aging in place, assisted living, or skilled care facilities.
• Care Providers – Identify potential support from family members, in-home aides, or medical professionals.
• Funding Care – Review possible payment sources, including insurance, personal savings, or family contributions.
• Quality of Life – Address preferences related to independence, dignity, and social engagement.

Use the link below to access the guide. Once completed, you can share your guide with family members and your professional advisors, at your discretion.

Access your Plan of Care Guide now!

2025 Tax Guides

Our complimentary tax guides are valuable tools for referencing information about tax and capital gains rates, retirement plan contributions, charitable giving strategies, tax-loss harvesting, and more. Download one or both guides now:

• 2025 Federal Tax Rates At-a-Glance Guide – Quickly find the information you need from federal income tax brackets and rates to capital gains and qualified dividend rates, contribution limits for retirement plans, annual gift and estate tax exclusion amounts, and more. View or download your complimentary 2025 Federal Tax Rates Guide now!
• The Return on Life^® Wealth Partners 2024-2025 Tax Planning Guide is your comprehensive guide to key tax provisions and deadlines that can help you reap the full benefits of collaboration with your qualified tax advisor throughout the year. The guide also includes helpful information on key changes under the SECURE 2.0 Act that will be helpful for your ongoing tax planning. View or download your 2024-2025 Tax Planning Guide. 

Refer a Friend or Family Member for a Second Opinion Consultation

Our Second Opinion Service makes it easy to refer friends, family members, colleagues, or  business associates for a no-obligation second opinion. A second opinion provides the people you care about with an opportunity to benefit from the same expertise and guidance that you have come to expect as a valued client.

In many cases, a second opinion will simply provide confirmation, and the confidence that those you care about are on track to fulfill their values and achieve their goals with their current financial provider or strategy. However, if needed, we are happy to suggest ways in which we can help, including recommending another provider if we are not a good fit for their needs. Either way, following a Discovery Meeting and Investment Plan Meeting with our experienced team, they will receive a Total Client Profile and a Personalized Financial Assessment of their current situation. Contact us at 440.740.0130 to learn more or to schedule a consultation.

Don’t Miss Out on the Topics that Are Important to You: Visit Our Getting Frank Blog and Frank Wealth Insights Podcast

Be sure to check out our latest Getting Frank Blog and Frank Wealth Insights podcast for information on timely topics impacting your finances and investments. Now you can access our podcasts via audio or video. Listen where you get your podcasts or watch us on YouTube, and be sure to connect with us via social media on these sites as well: LinkedIn, Facebook, and X (formerly Twitter).

Market & Economic Update*

Source: https://www.lpl.com/research/weekly-market-commentary/tariffs-and-market-volatility-likely-to-stick.html

Tariffs and Market Volatility Are Likely to Stick

**There has been no shortage of trade policy curveballs thrown at the market since the White House announced shockingly high reciprocal tariffs on April 2^nd. Stocks fell sharply and interest rates spiked on that news, prompting President Trump to pivot to a 90-day reciprocal tariff pause. Since then, trade negotiations have generally progressed, albeit slowly. Then, last week, came another curveball with the U.S. Court of International Trade (CIT) ruling that essentially blocked most of President Trump’s tariffs. Below we discuss what this news means, where the Trump administration goes next, and potential market implications. The legal backdrop has shifted, but the investing landscape really hasn’t changed much.

What Happened
On Wednesday, May 28^th, the U.S. Court of International Trade (CIT) essentially blocked the majority of President Trump’s tariffs. A three-judge panel issued summary judgment against the tariffs enacted under the International Emergency Economic Powers Act (IEEPA), claiming they were unconstitutional and “exceed any authority granted by the President by IEEPA.” The Court’s ruling blocks the following tariffs:

• 10% universal or baseline tariff
• 20% additional tariff on imports from China (tied to fentanyl)
• 25% tariff on non-compliant United States-Mexico-Canada Agreement (USMCA) goods

Importantly, this ruling should not impact tariffs imposed under Section 232 (steel, aluminum, autos) or President Trump’s ability to levy other sectoral tariffs, such as pharmaceuticals and semiconductor tariffs tied to national security.

The administration has been granted a stay, or pause, pending the completion of the appeal process. Depending on the ruling by the U.S. Court of Appeals for the Federal Circuit, the legal authority of these tariffs may go to the Supreme Court. Goldman Sachs estimates that 6.7% of the tariff increase since the start of the year could be removed. That would take the rate down to about 6% if those tariffs are removed and stay off. However, the administration has a plan B, a plan C, and perhaps even D and E.

What’s Next
The Court’s ruling marks a setback for President Trump’s initial trade strategy, but it does not mark the end of tariffs. There are several legal avenues the administration could explore to reinstate tariffs:

• Section 338: The administration could leverage Section 338 of the U.S. Trade Act of 1930, which gives the President unilateral authority to impose up to 50% tariffs on imports from foreign countries that are found to discriminate against U.S. commerce. Enacting Section 338, which has never been used to impose tariffs, requires no formal investigation before implementation, but it could potentially violate U.S. obligations under the World Trade Organization (WTO), which limits how much a country can raise tariffs above certain “bound” rates.

• Section 122: The administration could utilize Section 122 of the Trade Act of 1974, which addresses balance-of-payment issues by granting the President authority to impose tariffs of up to 15% for 150 days against countries running large trade deficits with the U.S. (Congress can pass an extension after the 150-day time frame). This means the President could immediately counter the block of the 10% universal tariff with a new tariff of the same amount (or 5% higher) and do so quickly, but only temporarily.

• Section 301: The administration could utilize Section 301 of the U.S. Trade Act of 1974. Essentially, this allows the President to take action against countries that engage in unfair trade practices. Enacting this would take time for countries not on the 301 list, as the U.S. Trade Representative (USTR) would have to launch a formal investigation, which includes consultations with the foreign government under review and usually a public comment period. Chinese imports have been a frequent flyer on the Section 301 list, and the range of products or tariff rates could be expanded to offset the CIT ruling.

• Section 232: The administration could use Section 232 of the Trade Expansion Act of 1962. This allows the President to adjust imports of goods that “threaten to impair” national security. President Trump has already enacted this law to impose duties on steel, aluminum, and auto imports. These sectoral tariffs could be expanded after a formal investigation is conducted by the U.S. Department of Commerce, which can take several months on the low end.

Our sources in Washington, D.C. suggest two potential likely paths. Either using 338, or a combination of 122 and 232. Either way, tariff rates are likely to get back over 10% and stay there, one way or another.

Tariffs are an important part of the Trump administration’s trade policy as leverage for trade negotiations with other countries and as a source of revenue. Given our expectation that overall weighted average tariff rates will land in the mid-teens when all is said and done, our expectations for earnings have not changed following this latest temporary tariff setback for the Trump administration.

For stock investors, that means the stimulus from the tax bill should remain in forecasts for economic growth and corporate profits, as well as inflation. But that doesn’t mean the broad market will rally to new highs this year because of how much optimism is already priced in.

We believe consensus earnings estimates from individual analysts aggregated (bottom up) and from strategists (top down) are too high for the current expected tariff regime. Our expectation is tariffs will drag S&P 500 earnings per share (EPS) down 2–3%, to perhaps $255 in 2025. As some tax policy and artificial intelligence (AI) tailwinds blow in 2026, the S&P 500 could deliver $275 in S&P 500 EPS next year. If that $275 number is right, then more than a 22 price-to-earnings ratio (P/E) is needed to reach new highs by year-end. The index is trading at a 21.4 P/E now. That tells us this market needs an unexpected earnings upside or lower interest rates.

We’re also concerned about the asymmetric risk around trade policy. Markets seem confident these trade deals will get worked out smoothly and quickly, and that tariff rates will end up below our expectations. While this is possible, we believe the market is over-confident in this blue-sky scenario. The probability of our bull case (6,100 to 6,200) by year-end has admittedly risen since larger tariffs seem to have been taken off the table and the AI investment outlook firmed, but the news that China trade talks have stalled provided a reminder of the downside risk to trade policy.

Dr. Jekyll and Mr. Hyde Bond Market
While the on-again/off-again tariff bruhaha introduces potential market volatility to the Treasury market, the actual impact of tariffs is mixed. Tariffs, as a trade policy lever, introduce a tug-of-war interaction between inflationary pressures (higher yields), slowing growth expectations (lower yields), and the potential to increase federal revenue (lower yields). The initial reaction from Trump’s sweeping tariffs on April 2^nd has pushed the 10-year Treasury yield some 50 basis points higher as markets have priced in a more hawkish Federal Reserve (Fed) response to rising price pressures. Further increasing yields, however, are growing concerns about debt and deficit spending as the Republican’s tax bill gets legislated through Congress.

Initial estimates suggest, in a best-case scenario, that deficits will continue to run in the 6–7% range of gross domestic product (GDP), suggesting Treasury issuance will need to remain elevated to fill the budget gap. To help fill those gaps, tariffs are expected to bring in $2 to $3 trillion in revenue over a 10-year horizon. That additional tariff revenue would likely be enough to offset most, if not all, of the expected deficit spending with the current bill in Congress. Again, we do not think the court’s recent decision to challenge the legality of tariffs puts that additional revenue source at risk. We do not expect this revenue to go away, and if it does, it will be the Trump administration’s decision, not the courts, to reduce or eliminate tariffs.

Tariffs also introduce risk to global growth, the antidote to most of our fiscal woes. Weak growth means low tax receipts. As the “Federal Interest Payment Getting Dangerously High” chart illustrates, roughly 18% of gross federal tax receipts go to interest payments. The ratio is at the peak from the early 1990s, when the economy was coming out of a recession. As the chart illustrates, the ratio falls as tax receipts grow from a robust economy.

The additional costs associated with tariffs are borne by someone, somewhere, so that ultimately means less resources to spend elsewhere, all else equal. So far, economic data hasn’t shown signs of a broad-based weakening economy (although the so-called “soft” data from surveys has been downbeat). Last week’s rise in initial jobless claims and the revised first quarter GDP print that reflected a weaker than originally expected consumer brought yields down. And recent inflation data, albeit surprisingly low in April, will likely reaccelerate throughout the remainder of 2025 as both supply and demand pressures push annual inflation rates higher.

Much has been written about the potential headwinds to Treasury yields, including policy uncertainty, a related increase in term premium (to encourage markets to hold long-term debt), an ongoing lack of fiscal restraint, fear of asset sales from the “de-dollarization” and “sell America” stories, a potentially more dovish Fed next year, a resilient economy, and higher non-U.S. yields. But ultimately, Treasury yields are primarily a function of growth and inflation expectations, so as the economic data goes, so go Treasury yields.

No doubt, obstacles remain to a sustained move lower in rates, but if the economic data starts to show a weakening economy, particularly with the jobs report in early June, Treasury yields will likely fall from elevated levels. Until the economic data softens, we think volatility in the Treasury market is here to stay, which should allow markets to price in more rate cuts from the Fed.

Technically Speaking, Consider Dips Above Support Levels as Potential Buying Opportunities
Stocks have quickly climbed the wall of worry back toward record-high territory. The sharp rally off the April lows has left many investors surprised by the speed of the recovery, especially on the institutional side of asset management, where the pain trade has been most pronounced. The more than 19% rally witnessed over the last six weeks is rare but not unprecedented. In fact, the S&P 500 has rallied 15% or more in 28 trading days 11 other times since 1950. Forward 12-month returns after these occurrences averaged 26%, with all 11 periods producing positive returns.

While the macro backdrop remains muddied by ongoing trade policy uncertainty, technical analysis can help cut through some of the noise and assess the durability of the recent rally. The S&P 500 has made notable technical progress on an absolute basis, including the reversal of a downtrend off the February highs and notably gapping above its closely watched 200-day moving average (dma). Over half of S&P 500 stocks have also recaptured their 200-dma, with cyclical sectors generally exhibiting the strongest momentum and breadth. Our trend model, which utilizes short, intermediate, and long-term moving average positioning to define trends, has undergone significant improvement. Since the April 8^th low, the percentage of S&P 500 stocks in some form of an uptrend jumped from 29.4% to 60.0% as of May 30th. Technology, which accounts for roughly a 30% weight within the S&P 500, witnessed the biggest shift, as the percentage of the sector’s stocks in uptrends surged from under 10% at the start of the month to 88% by the end of the month.

Overall, the weight of the technical evidence suggests this recovery is real, and not a “bull trap” or “bear market rally.” For investors, this means the dips above support buying opportunities.

Conclusion
The recent CIT summary judgment blocking the legal authority behind most of Trump’s tariffs adds some complexity to an already messy trade outlook. However, one way or another, these mid-teens tariff rates are likely to stick. The administration has a range of legal paths to restore these tariffs if they are ruled illegal under the IEEPA on appeal. Trade negotiations will continue, economic growth and deficit concerns will remain, and markets are likely to continue to be volatile around lingering trade policy uncertainty.

Closing Remarks

Investors should expect bouts of market turbulence until there is greater clarity on trade. Stocks are pricing in a lot of good news, and bonds face some significant headwinds. We do not believe now is the time for investors to increase portfolio risk levels and continue to wait for a pullback before considering adding equities. Based on current information, we believe the S&P 500 is at fair value and material additional upside would require an upside surprise on earnings and Treasuries (lower rates). The path of tariffs and the tax bill will be key.

Your Return on Life^® Wealth Partners team is committed to keeping you informed and adjusting portfolios, as appropriate, based on current market and economic developments. Please know that you’re always welcome to contact us at 440.740.0130 if you have questions or if you’d like to schedule a time to meet at our office. For those who prefer to meet virtually, we continue to use Zoom for virtual meetings and are always available via phone. Just let us know how you prefer to meet, and we’ll make it happen!

Real People. Real Answers.

Health, Happiness, and a Life Well Lived,                                                                                                                   

Frank Fantozzi

CPA, MST, PFS, CDFA, AIF^®, CEPA
President & Founder
Frank@ReturnOnLifeWealth.com

IMPORTANT DISCLOSURES

**A portion of this research material was provided by LPL Financial, LLC, June 2025. All information is believed to be from reliable sources; however, neither Return on Life Wealth Partners or LPL Financial make any representation as to its completeness or accuracy.

This material is for general information only and is not intended to provide specific advice or recommendations for any individual. There is no assurance that the views or strategies discussed are suitable for all investors or will yield positive outcomes. Investing involves risks including possible loss of principal. Any economic forecasts set forth may not develop as predicted and are subject to change.

References to markets, asset classes, and sectors are generally regarding the corresponding market index. Indexes are unmanaged statistical composites and cannot be invested into directly. Index performance is not indicative of the performance of any investment and do not reflect fees, expenses, or sales charges. All performance referenced is historical and is no guarantee of future results.

Any company names noted herein are for educational purposes only and not an indication of trading intent or a solicitation of their products or services.

For a list of descriptions of the indexes and economic terms referenced in this publication, please visit lplresearch.com/definitions.

All index and market data from FactSet and MarketWatch.

Unless otherwise stated, Return on Life Wealth Partners/Planned Financial Services and the third-party persons and firms mentioned are not affiliates of each other and make no representation with respect to each other. Any company names noted herein are for educational purposes only and not an indication of trading intent or a solicitation of their products or services.

Investment advisory services offered through Planned Financial Services, LLC, dba Return on Life Wealth Partners, an SEC-Registered Investment Adviser.

This material is for informational purposes only and does not constitute personalized investment, tax, or legal advice. Return on Life® Wealth Partners is an SEC-registered investment adviser. Registration does not imply a certain level of skill or training. Investing involves risk, including possible loss of principal. Past performance is not indicative of future results. Any opinions or forward-looking statements expressed are current as of the date of publication and are subject to change without notice.

For more information about our services and regulatory disclosures, please refer to our Form ADV and Customer Relationship Summary available at https://adviserinfo.sec.gov/firm/summary/112879.

Copyright © 2025 Planned Financial Services. All Rights Reserved.

Quick and objective

According to a 2024 Mercer Investments survey of global investment managers, 91% either currently use (54%) or plan to use (37%) AI for investment strategy or asset class research. The advantages of employing such technology stem from AI’s ability to quickly comb through vast amounts of data and make it actionable. Other benefits include:

Efficiency. AI’s ability to automate many tasks means it can offer lower costs, making sophisticated investment and retirement planning advice available to more people.

Powerful data analysis. AI’s ability to process and analyze data — including financial statements, market information and news articles — allows it to spot patterns and trends quickly, which can support more informed investment decision-making.

Personalized advice. By analyzing large amounts of client data (financial history, investment goals, risk tolerance, demographics), AI can be used to develop data-driven investment insights that appear more tailored, based on client profiles and preferences.

Objectivity. One potential benefit of AI is that it may reduce the emotional component of investing. By using preset rules and criteria to automate trade execution, AI could support more consistent behavior — especially during volatile markets — and help investors stay focused on their overall long-term strategies.

Risk management. AI may flag potential asset-allocation changes based on preset risk preferences. It can also be used to help monitor portfolios and highlight potential risks or unusual activity, supporting investors and advisors in reviewing account activity and identifying areas that may warrant further attention. 

Error-prone and vulnerable to attack

AI isn’t mistake-proof. The quality of its algorithms and the data used to train it are critical to its ability to enhance wealth-management advice. And it can’t replace human judgment — at least not now. AI systems are trained using historical data, and while they perform well under stable conditions, they may lack the ability to deal with unforeseen developments. AI systems may also struggle with issues that require human evaluation, such as those involving investor emotions, subtle market characteristics or nuanced decisions, such as balancing current quality of life against saving for the future.

Other potential disadvantages include a lack of transparency. For example, some AI models are “black boxes,” meaning users may not know much about their underlying algorithms or decision-making processes. This can make it difficult for investors to understand and manage risks.

AI may also be unable to handle complex planning. These models generally aren’t well suited for complicated scenarios that go beyond investment decision-making, such as estate, retirement or tax planning. Such scenarios generally demand human expertise and experience.

Then there are data security issues. Robo-advisors and other online investment platforms are attractive targets for cyberattacks. So it’s important for investors to become comfortable with an AI system’s data security practices.

Finally, overreliance on AI can be risky. While AI can provide valuable insights, it isn’t able to address every investment situation and may occasionally produce inaccurate or misleading results (see ‘Danger of hallucinations and bias’ below). That’s why experienced financial professionals play a key role in reviewing AI-generated information to help ensure recommendations align with each client’s unique circumstances.

The human touch

AI can be a powerful tool, but it’s just that — a tool. It generally enables financial advisors to process huge amounts of data efficiently, automate much of the investment management process and respond to investors' questions and requests more quickly. However, given its limitations, AI should be viewed as a complement rather than a replacement for human beings. Humans will likely continue to oversee AI activities, direct big-picture wealth management plans, troubleshoot unforeseen events and provide clients with emotional support for some time.

Sidebar:   Danger of hallucinations and bias

Artificial intelligence (AI) is improving all the time, but it’s far from perfect. For example, it can sometimes generate inaccurate or even fictitious results. These “hallucinations” may seem true and reliable but are, in fact, wrong, fabricated or even nonsensical. They can be caused by insufficient training data, poor model design and other factors.

Bias is another potential pitfall. It can occur when data used to train an AI system is incomplete, or unrepresentative, or when the algorithm or underlying data reflects existing human biases. Gender bias is particularly common. Suppose, for example, that a man and a woman are the same age and have comparable income, savings and risk tolerances. The AI model might assume all women earn less and have a longer life expectancy. Based on this assumption, the model might recommend that the woman allocate more of her portfolio, compared with the man’s, to conservative investments (which tend to be less volatile but historically have had lower returns over the long term). Such allocations can make for huge earnings discrepancies.

To help avoid incorporating bias into analysis, wealth advisors should prioritize systems that are guided by robust client data and place appropriate emphasis on a client’s personal financial profile, including a client’s risk tolerance. © 2025

Important Information:

This material is for general informational purposes only and does not constitute personalized investment, legal, or tax advice.

Investment advisory services offered through Planned Financial Services, LLC, dba Return on Life® Wealth Partners, an SEC-registered investment adviser. Registration does not imply a certain level of skill or training.

The views expressed are as of the date of publication and may change without notice. No forecast or opinion is guaranteed to materialize.

Artificial intelligence tools may be limited by design, data quality, or external threats. Any use of AI in financial analysis should be evaluated in the context of individual goals, preferences, and circumstances.

For additional information about our services and regulatory disclosures, please visit our Form ADV at https://adviserinfo.sec.gov/firm/summary/112879.

If you’re looking to dispose of highly appreciated real estate without triggering a substantial tax bill, you might consider a like-kind exchange. Under certain conditions, this strategy may allow for long-term––or even permanent––tax deferral. When used properly, it can be a highly effective tool for both estate and income tax planning.

Here are answers to common like-kind exchange questions.

How much can you defer?

An outright sale of appreciated property can generate a variety of taxes on the capital gain. These include federal income taxes (15% or 20%, depending on your tax bracket, or 25% on any “recapture” of previous depreciation deductions); the 3.8% federal tax on net investment income (if applicable); and in many cases, state capital gains taxes as well.

What property qualifies?

Like-kind property is defined broadly as any real property interest held for investment or business purposes. It can even include vacation homes owned primarily to rent. However, it doesn’t include land under development or property held for sale.

Personal residences also don’t typically qualify. But if the sale of a personal residence would trigger a large capital gains tax — for example, because the home sale exclusion doesn’t apply or the property’s appreciation exceeds the exclusion amount — it may be possible to convert the residence into a business (rental) property. Then you might later be able to execute a like-kind exchange. To qualify, you’d generally need to use the property for rental or other business purposes for at least two years.

How does it work?

To enjoy the tax-deferral benefits of a like-kind exchange, you must comply with several timing and technical requirements. Actual exchanges of one property for another are rare. Usually, property owners do a “deferred exchange,” which gives an owner 45 days after the sale of “relinquished property” to identify one or more replacement properties. Replacement property must then be purchased and the transaction closed by the earlier of:

1. 180 days after the relinquished property is sold, or
2. The due date — including any extensions — of the owner’s tax return for the year of sale.

To avoid immediate taxation, an independent "qualified intermediary" must hold sale proceeds and use them to acquire the replacement property.

It’s also possible to acquire replacement property first and then sell the relinquished property in what's known as a reverse exchange. These transactions are more complicated than traditional deferred exchanges and you should ask your financial advisor for more information and help.

What are the estate planning benefits?

Leaving appreciated property to your children or other heirs can be an effective estate planning strategy. Your heirs generally would receive a stepped-up tax basis in the property, equal to its fair market value on the date of your death. If they were to sell the property, they would generally not owe capital gains tax on appreciation occurring before that date, due to the step-up in basis.

But what if you've identified other property that would provide greater investment returns for your family? You could sell your existing property, lose a big chunk of the proceeds to various taxes, and reinvest what’s left. However, a like-kind exchange would allow you to trade for a more attractive property without losing any of the relinquished property’s value to taxes.

Seek professional help

Like-kind exchanges potentially offer significant tax benefits, but they’re subject to strict technical Sec. 1031 exchange requirements that must be followed to the letter. If you’re considering an exchange, consult an experienced professional to plan the transaction and help minimize risk. © 2025 

Important Information:
This material is for informational purposes only and does not constitute personalized investment, tax, or legal advice.

Investment advice offered through Planned Financial Services, LLC, dba Return on Life® Wealth Partners, an SEC-registered investment adviser. Registration does not imply any particular level of skill or training.

The views expressed are current as of the date of publication and may change without notice. Any strategies discussed may not be suitable for all investors and should be reviewed with a qualified professional based on your individual circumstances.

For more information about our services and regulatory disclosures, please visit our Form ADV: https://adviserinfo.sec.gov/firm/summary/112879.

Recent research from the Federal Reserve Bank of New York reveals shifting expectations about retirement. Fewer than half of workers now say they’re likely to stay in a full-time job past age 62. For some, early retirement may be involuntary — the result of job loss or limited reemployment options — rather than a reflection of financial independence.

A Roth IRA ladder may help make an earlier—and potentially more flexible—retirement possible.

Multiple transfers

Here’s how the process works: You transfer funds from a traditional IRA, 401(k) plan or similar tax-deferred account to a Roth IRA. You must pay tax on any amount you transfer.

But once the transfer is in your Roth IRA account, you may be able to withdraw transferred funds, original contributions and any earnings tax-free. The “ladder” part of the process involves several transfers into the Roth IRA account staggered over a period of years. You stagger the transfers because each converted amount must meet certain timing rules before you can withdraw it and any earnings.

Tax-free withdrawals and more

With Roth IRAs, you can make tax-free withdrawals of your contributions anytime (because they’ve already been taxed). However, for withdrawals of your earnings to be tax-free and penalty-free, they generally must meet the following requirements (with some exceptions):

1. You must first reach the age of 59 1/2, and
2. At least five tax years must have passed from the beginning of the year you first set up and contributed to the Roth IRA.

The big advantage of Roth IRA ladders is that they can enable significant tax-free withdrawals after only five years. Depending on the size of your accounts and your planned retirement lifestyle, this strategy may support earlier retirement, depending on your individual financial situation and goals.

Other advantages? Because Roth IRA accounts are not subject to required minimum distributions during your lifetime, they may offer more flexibility for long-term planning, including legacy considerations. Additionally, converting funds in installments and creating multiple income streams may provide greater tax and retirement planning flexibility.

Potential risks

There are drawbacks that may make a Roth IRA ladder risky or less tax-efficient for some individuals. Discuss your specific situation with financial professionals. They can help you determine whether the Roth IRA ladder strategy might work for you. ©2025 

Important Information:
This material is for general informational purposes only and does not constitute personalized investment, tax, or legal advice.

Investment advisory services offered through Planned Financial Services, LLC, dba Return on Life® Wealth Partners, an SEC-registered investment adviser. Registration does not imply any particular level of skill or training.

Any strategy mentioned, including Roth IRA ladders, may not be suitable for all investors and should be reviewed with a qualified tax and financial professional. Tax laws are subject to change, and individual outcomes may vary.

For more information about our services and regulatory disclosures, please visit our Form ADV at https://adviserinfo.sec.gov/firm/summary/112879.

The U.S. Social Security Administration reports that about one in four people between ages 20 and 67 becomes disabled. Many more people older than 67 can’t manage basic life functions, including making financial and medical decisions for themselves. Unexpected events, such as a health crisis, could impact your ability to manage financial and medical decisions.

For these reasons, many individuals — including young and healthy adults — may want to consider appointing trusted individuals to assume powers of attorney. In general, powers of attorney can be addressed in your estate plan.

2 types

Many elements of a typical estate plan focus on actions that take place upon or after death. But it’s equally important to have a plan for making financial and medical decisions should you be unable to make them for yourself. Legally, a power of attorney is a document authorizing another person to act on your behalf. This person may be referred to as the “agent,” “attorney-in-fact,” or “power of attorney.” 

Agents usually are assigned one of two types of power of attorney:

1. General. This type is broad in scope. People commonly use these if they frequently take extended trips out of the country and need someone to authorize business and investment transactions while they’re gone. A general power of attorney becomes invalid if you’re incapacitated.
2. Durable. Unlike the general form, a durable power of attorney remains in effect if you become incapacitated and only terminates on your death. Therefore, you may want to consider establishing this type. Just know that this document must include certain language required under your state’s laws to be effective.

Note: Some people choose a “springing” power of attorney. This document takes effect when someone is incapacitated but is only available in certain states. Talk to your estate planning advisor to see if it’s an option for you.

Health care directives

Powers of attorney can provide authorization to make both financial and health care decisions. With a health care power of attorney, you can establish the terms for determining if you’re incapacitated. For example, it may only be in effect temporarily if you’re unconscious and then become ineffective if you regain consciousness. Whatever you decide, discuss your document’s terms and your reasoning with your appointed agent.

Also, don’t confuse a power of attorney with a living will. A durable power of attorney allows another person to make decisions in your best interests. A living will provides specific end-of-life directions for terminally ill patients.

Putting — and keeping — it in place

Powers of attorney can only be established for someone who’s currently competent. However, even if you’ve been diagnosed with a specific disease, it doesn’t make you “incompetent” to establish powers of attorney. Even an elderly person in the beginning stages of Alzheimer’s may be able to do so.

Once you’ve established powers of attorney, review them periodically and consider executing new ones if your wishes have changed. Another reason to review and renew: Some financial institutions and health care providers may be reluctant to honor powers of attorney that are more than a few years old. And you should definitely review these documents if:

• An appointee has died or become unavailable,
• You’ve divorced the spouse you initially appointed, or
• You’ve moved to another state.

Reviewing and updating documents regularly can help ensure they reflect your current wishes.

Certain terms have different meanings in different states, and states don’t all have the same procedural requirements. Some states, for example, require durable powers of attorney to be filed with the local county recorder or some other government agency.

Revocable documents

Finally, powers of attorney usually continue until death but are revocable. This means you can revise or discontinue them anytime and for any reason. Be sure to notify your estate planner, the agent you appointed and any family members who need to know. © 2025 

Important Information:

This article is intended for informational purposes only and does not provide legal, financial, or tax advice. It is recommended that you consult with a qualified estate planning professional or financial advisor to determine the appropriate steps for your individual circumstances. The information provided here is general in nature and may not apply to your specific situation.

Investment advisory services are offered through Planned Financial Services, LLC, dba Return on Life® Wealth Partners (“Return on Life” or the “Firm”), an SEC-registered investment adviser.

Return on Life^® is committed to acting in the best interests of its clients at all times. However, as a fiduciary and SEC-Registered Investment Adviser, the Firm may encounter certain inherent conflicts of interest in the ordinary course of providing advisory services. The Firm has adopted policies and procedures reasonably designed to identify, mitigate, and disclose such conflicts where appropriate. The Firm discloses all material conflicts in its Form ADV Part 2A, which is available upon request or at www.adviserinfo.sec.gov under the Firm’s profile. Clients are encouraged to ask questions and seek additional information at any time.