September Monthly Insights – Gold Highs, RILA Growth & Life Insurance Tips
📊 U.S. Economy & Federal Reserve Policy
Consumer confidence dipped in August as people worried about jobs, high prices, and tariffs. Some small companies also grew cautious, expecting higher costs ahead. Still, the U.S. economy is showing strength — GDP grew at 3.3% in the second quarter, faster than first estimated (U.S. Bureau of Economic Analysis (BEA)). Stronger business investment (especially in the AI area) and consumer spending helped lift growth.
In trade theory, global trade usually benefits consumers but hurts producers. Now it’s the opposite — it hurts consumers but benefits producers and businesses.
The Federal Reserve may cut interest rates in September. Right now, markets see more than a 90% chance of a small rate cut, which could help borrowers and investors.
📈 Asset Class Economic Update
Gold prices [1]hit a new record of $3,600 per ounce, as investors prepare for lower interest rates.
In Japan and Australia real estate is showing resilience even as trade tensions weigh on other sectors.
On August 7, Trump signed an administration executive order aiming to boost the use of alternative investments in the $12.2 trillion defined contribution plan market. Alternative investments include private equity, private credit, real assets, and even crypto.
With the U.S. dollar weakening, federal policy and deregulation, this may be a good time to connect with me to discuss how this can be affecting your retirement account.
🔐 RILAs[2]: A Growing Annuity Option
Registered Index-Linked Annuities (RILAs) are becoming very popular. Sales in the first half of 2025 jumped 20% year-over-year to $37 billion. (Source: https://www.fa-mag.com/news/rilas-continue-their-wild-ride-83771.html)
RILAs are annuities which could give you a mix of protection and growth:
They limit losses if markets fall.
They let you join part of the market’s upside.
But, you don’t get dividends, there are fees, earnings are taxed as ordinary income instead of capital gains.
They can be useful for people who want protection but still want growth potential. Just remember: these are complex products, so it’s important to understand the details before buying.
❤️ September Is Life Insurance Month
This month, we’re highlighting term life insurance.
One of my clients came in asking about whole life, but after reviewing his goals, we found that term life gave him the coverage he needed at a much lower cost.
Term life is simple:
Protects your family for a set time (10, 20, or even 30 years).
Less expensive than permanent life insurance.
Works like renting a house — you pay for protection, but it doesn’t build cash value.
For many families, pairing a term policy with a good investment plan works out better in the long run than a costly permanent policy.
If you’d like quotes tailored to your situation, I’d be glad to help.
[1] Precious metal investing involves greater fluctuation and potential for losses.
[2] Registered index-linked annuities (RILA)s are subject to investment risk, including possible loss of principal. Investment returns and principal value will fluctuate with market conditions so that units, upon distribution, may be worth more or less than the original cost. They are designed to be a long-term investment product used to help provide income for retirement and are not suitable as a short-term investment. Withdrawals will reduce the contract value and the value of any potential protection benefits. Withdrawals taken within the period stated in the prospectus will be subject to a withdrawal charge or a Market Value Adjustment (MVA), depending on the product. All withdrawals are subject to ordinary income tax and, if taken prior to age 59½, may be subject to a 10% federal additional tax.