FUND A LIFE YOU LOVE
Your Big Company Career – Will Promises Made be Promises Kept?

Your Big Company Career – Will Promises Made be Promises Kept?

Your Big Company Career

Will promises made be promises kept?

Many people work at America’s major corporations because:

  • They like the environment.
  • They love the regular paycheck.  
  • They like the job security.
  • They like the future career path they have been promised.

Each of these premises will be challenged over the next three to five years.

For many, what they have known as their safety zone will no longer be the same as their comfort zone. As they begin to watch the changes that are coming to a growing number of large companies, they're going to discover there's a false sense of security, and that by trying to delay change and remain in the comfort zone, they'll actually put themselves more at risk.

For example, employees of some of America’s Fortune 500 giants have relied heavily on their profit sharing plans, restricted stock grants and stock options to achieve their wealth goals.  The problem, however, is that we've seen stock-based compensation fail to deliver the kind of wealth that we've seen delivered in the past. People who work for these companies will have to ask really tough questions about whether the stock can live up to its normal return levels and whether that is the most attractive way for them to be compensated if they stay.

Here’s another example.  In the past, employees could focus on their internal relationships- their mentors- at the large corporation, and if they received promises on what their future career would look like, they could count on them. The real question to ask yourself going forward is... “Will the people who gave me these promises still be working here in three to five years, and will they be able to deliver on those commitments?”

Will promises made be promises kept?  And if not, what is your Backup Plan?

At Lenox, we are looking at the impact of corporate change on you, your family and your future. We’re here to help you look at where you are today and to prepare for what’s next.

What life transitions are you experiencing right now?

Call us for a complimentary 1 hour review.  

Our services include: Financial Planning Services, Re-launching Your Career, Professional Networking, Business Purchase, Startup or Succession, Investment Planning, Stock Options Strategy, Retirement and Estate Planning among others.

Call 513.618.7080 or contact us to Fund a Life You Love.  

Please contact your investment and tax advisor prior to making any decisions. 

Past Performance is not indicative of future results.

This newsletter is limited to the dissemination of general information pertaining to its investment advisory/management services. This is not intended to be personalized investment advice. Please contact a Lenox adviser if you would like additional information.

Couples and Money - It’s never too late to have “the talk”

Couples and Money - It’s never too late to have “the talk”

Couples and Money

It’s never too late to have “the talk”

We recently posted a wsj.com article entitled “Why Couples Should See a Financial Adviser Before They Get Married”. In reality, there’s never a wrong time for couples (newly-engaged, newly-married, or celebrating an anniversary) to have “the talk about money” and to get the guidance and mentoring of a financial advisor. 

Here’s why.  There’s always something new to learn ­–– tips, habits, new ways to save money, smart new money management tools, even small tweaks in behaviors that can make a positive, life changing impact on your net worth.

What other couples have learned

It might be gaining a better understanding of each other’s financial wants and needs, or the emotional reasons behind your spending habits, or your (often unexpressed) expectations of each other.  An experienced financial adviser has likely been part of all such conversations and can bring to the table not only empathy and understanding, but also what has worked well for other couples in similar situations. 

“We’re taught from a young age NOT to talk about religion, politics or money,” says Lenox VP and Certified Financial Planner, Anne Megerle, who regularly counsels couples of all ages on financial planning and financial problem solving.  “That may be good advice when in social situations, but not for couples.  Not talking about money can lead to major problems, both financially and in a couple’s relationship.  Life gets so much easier when couples understand each other “financially” and are on the same page.”

Don’t delay taking that step  

“Too often, couples put off talking money because they are embarrassed about how they’ve spent money in the past, or have money secrets they haven’t shared with their spouse,” says Megerle.  “Our job is not to judge or to criticize; it’s to help align couples and get them past financial bumps and setbacks and on their way to a well-planned financial future.”

Easier than you think

Whether as a couple you’re smooth sailing through your finances or constantly butting heads, the gist of the meeting should be positive, upbeat and informative.  You should leave feeling more knowledgeable, empowered, and comforted by having a roadmap with clear next steps to attain the financial future you mutually desire. 

At Lenox, we walk you through our easy and comfortable financial coaching for couples, including...

  • Couples Future Focus –– A brief assessment to discover what each person brings to the relationship, along with expectations, life dreams, and more
  • “Honest Conversations” –- Insights into what matters to you in life
  • “Money Mind” –– What role money plays to each of you as individuals
  • Money Management –- Creating and following a budget, how to save and how to give
  • Building your net worth as a couple

The lesson in all of this is that from premarital financial planning, to mid-career financial changes, to any or all of life’s major transitions (education costs, weddings, retirement), all couples can gain by making time for “the talk”.   Smart couples do just that.

If you’re ready to discuss financial planning that will allow you to Fund a Life You Love®, we’d love to tell you more.  Let’s talk.  It’s your tomorrow.

Call us for a complimentary 1 hour review.  Call 513.618.7080 or visit www.lenoxwealth.com to Fund a Life You Love.

Past Performance is not indicative of future results.

This blog is limited to the dissemination of general information pertaining to its investment advisory/management services. This is not intended to be personalized investment advice. Please contact a Lenox adviser if you would like additional information.

Your College Student is Halfway through their First Semester of College.

Your College Student is Halfway through their First Semester of College.

Your College Student is Halfway through their First Semester of College.

Are they learning the most important lesson of all?

 

Which is... how to live on your own, manage your money and pay your bills.

All too often, well-intentioned parents provide their college-age son or daughter a credit card to be used for necessary expenses and emergencies only, and then are horrified at the amount of debt their child is able to accumulate in just a few months’ time.  This scenario can be devastating to a family’s finances and also to the parent/child relationship.

You can avoid this kind of financial stress by making “budgeting” and “money management” an essential part of getting kids ready for college, long before they head off to campus. 

Following here is some financial advice for parents and their college students –- financial lessons to start now, even if your student is already halfway through their first semester.

Budgeting and money management for college students

3 MUST DO’s:

  1. Insist your college student put together a budget.
  2. Leave them alone to figure out their own budget.
  3. Put the budgeted money in one checking account that your student manages.

STEPS TO ACCOMPLISHING THE MUST-DO’s:

  • Have your student brainstorm the categories of expenses they will face: Tuition, Room and Board, Clothing, Entertainment, Travel, Club Dues, Sports Dues, etc.
  • Have them research and guesstimate the dollars for the different categories
  • Do semester or quarter budgets so they learn as they go
  • Expect push back, tears, and frustration as your student puts together their budget. Gently coach them through it.
  • Decide who owns the budgeted money in their account.  Is it funded by you, by them, by a scholarship, or a little bit from all?
  • Move the dollars to an account that is managed by your student
  • Do NOT step in and save them; they will figure it out

The life-long lessons learned

When a college student is responsible for the dollars they spend in college, many life-long lessons are learned.

  • How to do a budget
  • How to open a bank account
  • How to pay your own bills
  • How to apply and manage a credit card or debit card
  • How to manage a budget
  • Creative ways to live within your means
  • How to make choices
  • Ways to make money to fill the gap
  • How to apply for a scholarship

And the greatest learning of all that they will receive?  How to manage their money when they get out of school and for the rest of their lives.  And with any luck, maybe with very little to no debt.

And, a sense of accomplishment and empowerment!

Budgeting and money management for college students can be a tough lesson for the entire family.  Congratulations for taking it on. 

If you’re ready to discuss financial planning that will allow you to Fund a Life You Love®, we’d love to tell you more.  Let’s talk.  It’s your tomorrow.

Call us for a complimentary 1 hour review.  Call 513.618.7080 or visit www.lenoxwealth.com to Fund a Life You Love.

Past Performance is not indicative of future results.

This blog is limited to the dissemination of general information pertaining to its investment advisory/management services. This is not intended to be personalized investment advice. Please contact a Lenox adviser if you would like additional information.

Cincinnati Arts Association Arts Education Program Non-Profit of the Month

Cincinnati Arts Association’s Education Department educates, inspires and engages the Cincinnati region through its Arts Education programs.  CAA promotes life-long engagement in the arts.  Last year the Cincinnati Arts Association reached over 60,000 students in grades K-12 throughout the Tri-state. 

As a non-profit organization they rely on sponsorships, grants, fundraisers, memberships and donations from friends like you to fund our Arts Education Programs.  Each year they host their Backstage Treasures Online Auction which will go live on November 17th at 10 am and close on December 4th at 10 pm.

Ways you can help!  Donating an item to their auction.  Or make a monetary donation by sponsoring a classroom of 30 students to see a performance or chartering a bus for their transportation. 

Donations can be made directly at www.cincinnatiarts.org/backstagetreasures.  If you would like to discuss donation options please contact Gina at gkirk@cincinnatiarts.org or 513.977.4135.

Another way you can help is to BID on the hundreds of items up for auction.  The website is the same, but on November 17th it will be transformed into an auction catalogue full of unique items and experiences, great for gifting or keeping yourself.  www.cincinnatiarts.org/backstagetreasures.

To learn more about Cincinnati Arts Associations Education Department visit them online at: www.cincinnatiarts.org/education-community

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October 2017 Outlook on Procter and Gamble (P&G)

October 2017 Outlook on Procter and Gamble (P&G)

Current P&G Stock Outlook:

  • We are reducing our 12-month outlook from $96 to $93/share.

  • In our $96/share target, we included a $6/share reserve for upside reflecting the positive impact Trian Partners could have on stock price if Nelson Peltz was elected to the Board.

  • Assuming Peltz has officially lost the proxy fight, but Trian remains an engaged shareholder advocate, we have reduced the reserve from $6 to $3.
  • For perspective, Wall Street analysts have an average 12-month stock price target of $93.58/share. Analyst forecasts currently range between $80/share and $105/share.
  • Please note there has been a $1.21 or 1.3% increase in the Wall Street Analyst average since our August 2017 outlook.

Highlights of P&G’s Quarterly Results:

  • P&G continues to deliver on the forecast, but the overall results, especially for top line revenue growth, are very incremental.
  • P&G had organic sales growth of 1% for Q1 FY 2018.
  • P&G reported first quarter fiscal year 2018 net sales of $16.7 billion, a 1% increase versus the prior year (note: foreign exchange had no net impact on sales for the quarter).
  • Organic sales increased slightly or were unchanged in three of five business segments.
  • Core earnings per share were $1.09, an increase of 6% versus the prior year.
  • Operating cash flow for the quarter was $3.6 billion.

Fiscal Year 2018 Guidance:

  • FY 2018 guidance continues to be incremental; P&G is maintaining its guidance for organic sales growth in the range of +2 to +3%, with all-in sales growth of around 3%.
  •  P&G’s guidance for core earnings per share growth in the 5% to 7% range, also remains unchanged versus FY 2017 of $3.92.
  • For FY 2018, dividends are expected to be in the $7.5 billion range, with additional share repurchases in the $4 to $7 billion range.
  • We expect the combination of Trian headlines, dividends and share repurchases will keep modest upward pressure on the stock while reducing downside risk if there is U.S. market correction due to a recession.
  • P&G announced a dividend increase of 3% in April 2017, from $0.6695 to $0.6896 per share. Historically, dividend increases have averaged around 8%.

Understanding our reduction from $96 to $93 Price Target:

  • We do not believe Nelson Peltz and Trian Partners will go away any time soon.
    • We now believe David Taylor has more career risk if P&G misses a forecast. This is not a better situation for the company. We look forward to a day where Trian and David work collaboratively. We believe a new lead director could help bridge the gap.
    • Nelson has a strong track record of adding value for shareholders. Our sincere hope was that the Board would quietly invite him to take a seat. We were disappointed that so much management time and money was wasted on a proxy fight.
    • We believe Trian has the potential to bring an additional $30 to $40/share in value to the price of the stock. We just do not believe that P&G’s current plan brings a “private equity” mindset to the company.
    • We do not believe Trian can bring this transformational value without pursuing for more aggressive headcount reductions, insisting on higher value-added spending on both R&D and marketing, challenging the current dividend policy where earnings are double taxed, and pushing for increased purchases of shares through low-cost debt.
    • We admire David Taylor. We believe that in order for David to add the most value, this Board needs to bring a stronger outside point of view and push, when required, for more transformational change faster.
    • We believe this Board has been slow to act and has only provided leadership when forced. We believe the Board needs to be shaken up. We would like to see P&G replace James McNerney with a more transformational and independent Lead Director who can bridge the gap between David Taylor and Nelson Peltz.
    • We still don’t think P&G is a “safe environment” for newly recruited outside talent, until there is a change in the lead director role. 
  • Continued Cost Cutting—P&G continues to focus on driving out organizational inefficiencies. After completing a $10 billion initiative launched in 2012, P&G launched another $10 billion cost savings initiative. The company expects much of this cost savings to come from driving down the cost of goods and increasing productivity. Based on history and guidance, it is unclear what percentage of the $10 billion, if any, will go to the bottom line.
  • Sales Growth— P&G is maintaining their forecast for all-in sales to increase 3% in fiscal year 2018. We don’t understand, yet, why this relatively low target is acceptable to the Board.
  • Share Repurchases—P&G completed $5.2 billion of direct share repurchases in fiscal year 2017. The company expects to buy back an additional $4 to $7 billion in fiscal year 2018. Share repurchases will continue to be a critical component of our price target.
  • Macroeconomic, Political, and Competitive Risks—P&G identified several key risks that they have not taken into consideration in their FY 2018 guidance: Significant deceleration of market growth rates, further political and economic volatility, further currency weakness, and further commodity cost increases.

Please contact Lenox at 513-618-7080 or at send us an email for Recommendations. Please contact your investment and tax advisor prior to making any decisions.

Past Performance is not indicative of future results. This newsletter is limited to the dissemination of general information pertaining to its investment advisory/management services. This is not intended to be personalized investment advice. Please contact a Lenox adviser if you would like additional information. Source: P&G Earnings Release 10/20/2017

What are you working toward?

What are you working toward?

 

What are you working toward?

“I feel like I’m racing to achieve this magic number ($ amount) so that we can retire and not worry about running out of money.”

“We’re not spending money on anything extra right now –– if we did, we’d never reach our retirement savings goal.”

“We’re supposed to have this huge chunk of money saved for retirement by the time we turn 60 or so.  That all sounds good, but we still need to live day to day. Where’s the balance? 

We often hear these types of sentiments from people nearing retirement age and who are trying to juggle the here and now with retirement planning.

But, the angst can span generations. This from a young executive who just turned 40, “Seems like financial comfort comes only after you’ve reached your retirement goals, then you can relax and finally do what you want to in life.”

What are we working toward?

A magic number for some day? Then what? How many of life’s moments have we sacrificed in getting there?

What if, instead, the magic (however we define it for our self and our family) is not just a number but includes our ability to live life to its fullest all along the way... and still we wind up with the financial security we seek in retirement.

Sound like a better goal to be working toward?  We think so, and it’s what we help you do. We call it FUND A LIFE YOU LOVE®.

If you’re ready to discuss financial planning that will allow you to Fund a Life You Love®, we’d love to tell you more.  Let’s talk.  It’s your tomorrow.

Call us for a complimentary 1 hour review.  Call 513.618.7080 or visit www.lenoxwealth.com to Fund a Life You Love.

Past Performance is not indicative of future results.

This blog is limited to the dissemination of general information pertaining to its investment advisory/management services. This is not intended to be personalized investment advice. Please contact a Lenox adviser if you would like additional information.

Let’s Talk Your Bucket List

Let’s Talk Your Bucket List

Let’s Talk Your Bucket List

One day, your life will flash before your eyes. Make sure it’s worth watching.

 

This line from the 2007 movie, The Bucket List, speaks volumes about why all of us need to capture opportunities and live life to its fullest not someday, but now, while we can. We don’t have to be retired.  We don’t even have to be in our later years.  Our bucket list should be a priority even while we’re young.  What’s stopping us from dreaming and wishing?  Isn’t it time we create and start checking off our must-dos and must-sees right now?  Step up, people.  Life is short.  Quit talking and start doing! 

Sounds good, but then come the excuses.  Don’t know where to start.  Not enough time in our already hectic schedule.  And then the mother of all excuses –– it takes money to carry out a bucket list –– money we don’t have or at least don’t feel that we should be spending.  Not to worry, we understand.  With all the financial uncertainty in recent years, a mix of everything from bull markets and bear markets, to political division, to global threats, to slow job growth and shifting careers, it’s no wonder why many of us have put our bucket list on hold. 

And therein lies the problem... instead of focusing on the “fun” and fulfillment that money can provide us, we get caught up in the mechanics of working and saving to reach financial goals instead of life goals.  The result is that we might achieve our financial aspirations, but “one day” may not come for attaining our fun goals, aka our bucket list. 

The question becomes, “How do we have it all?  How do we enjoy life in the here and now and do so without sacrificing financial security for the long term?

We think the answer is easy.  You can have it all.  It starts with developing a financial plan not just for the future, but one that takes into account what matters most to you all through life.  It’s what we mean at Lenox by helping you Fund a Life You Love... now, next year, and at every stage of life. 

Here’s your homework.  If you haven’t already done so, make your bucket list, starting now.  Look at it as goals you want to accomplish, things you want to see, work you want to tackle, the people you want to help, and places you wish to go... today, tomorrow... not just “one day”.  Then, let’s build a financial plan that makes your list a reality.  You can keep the “fun” in Fund a Life You Love.  We can show you how.

If you’re ready to discuss financial planning that will allow you to fund your own personal bucket list, we’d love to tell you more.  Let’s talk.  It’s your tomorrow.  Call us for a complimentary 1 hour review.  Call 513.618.7080 or visit www.lenoxwealth.com to Fund a Life You Love.

Everyone Communicates Few Connect by John Maxwell Book of the Month

Everyone Communicates Few Connect by John Maxwell Book of the Month

All day long, we interact and communicate with others.... our family, friends, co-workers, The question is, are we connecting?  In this book, John Maxwell shares the Five Principles and Five Practices to develop the important skill of connecting. It is a skill you can learn and apply in your relationships to develop stronger and more rewarding relationships. 

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The P&G Shareholder Finally Wins!

The P&G Shareholder Finally Wins!

The P&G Shareholder Finally Wins!

Today, Procter & Gamble shareholders finally won.

It did not matter whether Nelson Peltz and Trian won or lost.

The bottom line is the Procter & Gamble shareholder has been holding the bag for 10 years. The performance of the company has been underwhelming. In quarterly meeting after quarterly meeting, management explained away the results, setting low targets, and explaining that they were in an endless series of restructuring moves.

For the first time, the board and senior management has finally sent a strong message back to the shareholder that, "Yes, you do matter."

With all this attention, we might now see the $30 to $40 per share upside that we always believed was achievable. We encourage Procter & Gamble shareholders to stay the course and enjoy the upside.

Procter & Gamble Employees Need to Take a Career Inventory

For Procter & Gamble employees, we encourage you to take an inventory and ask, “Are you better off remaining with the company?” For many employees, they are seeing an endless series of 70 hour weeks. They are also seeing an increased number of broken promises on career development, compensation, and upside on their stock options and restricted stock.

“Will my job be inside or outside Procter & Gamble in 3 years, 5 years, and 10 years?”

If you believe that your role will add more value outside of P&G, rather than inside, you do have work to do. It could take several months for your manager’s manager’s manager to finally let you know that your job no longer adds value for the consumer and the shareholder.

We encourage you not to wait for this information to come to you from above. You are much better off thinking through the value proposition between you and the Procter & Gamble consumer and shareholder, making sure that you have backup plans so that you can protect your career and your family’s financial interest.

If you are looking for help in making these kinds of evaluations and decisions, Lenox has helped P&G families navigate these types of changes over the last 15 years.

Don’t wait! Let us help.

Call us for a complimentary career and financial plan review.

Call 513.618.7080 or visit www.lenoxwealth.com to Fund A Life You Love.  

Please contact your investment and tax advisor prior to making any decisions. 

Past Performance is not indicative of future results.

This newsletter is limited to the dissemination of general information pertaining to its investment advisory/management services. This is not intended to be personalized investment advice. Please contact a Lenox adviser if you would like additional information.

Life happens.  Now what?

Life happens. Now what?

Life happens.  Now what?

How to own your life transitions!

Whoa.  What just happened!  Life can go along smoothly for months or years and then suddenly you find yourself amidst a significant life transition and faced with changes, challenges and a run of decisions to be made.  Even if the transition is positive, it can feel overwhelming.  This is a good time to have a sounding board –– the ear, thoughts and guidance of professionals who have experienced what you’re going through and who can lend real-world direction.

At Lenox, we put our full energies and expertise behind helping you plan for life, your life, and all of its moving parts, including life’s transitions.  We help you formulate key questions to be asked, strategically explore opportunities, review opportunities, consider ramifications of decisions, avoid pitfalls, and so much more.

How we can help you own your life transitions.

Changing Jobs. Many compensation packages are difficult to understand. Lenox can review your offer, compare it apples to apples to your current compensation, and structure a package at your new firm.  We will negotiate the deal, preserving your strong relationship with your new company.

Building a New Home. Building a dream home or doing that long-awaited renovation? Lenox can help the get the house completed on time and on budget.

New Business Hiring. Are you considering hiring a new employee? Lenox can explain the pros and cons of compensation structures and identify the risks to your balance sheet. With Lenox’s help negotiating the employment contract, you can maintain a good relationship with your new hire.

Life Insurance. Life insurance can be complicated. Lenox can review policies and the costs involved to make sure you know what you are buying.

What life transitions are you experiencing right now?  Give us a call and let us help.

It’s your tomorrow.  Call us for a complimentary review.  

Call 513.618.7080 or visit www.lenoxwealth.com to Fund A Life You Love.  

Please contact your investment and tax advisor prior to making any decisions. 

Past Performance is not indicative of future results.

This newsletter is limited to the dissemination of general information pertaining to its investment advisory/management services. This is not intended to be personalized investment advice. Please contact a Lenox adviser if you would like additional information.

 

Why should you care who pays your Financial Advisor?

Why should you care who pays your Financial Advisor?

Why should you care who pays your Financial Advisor?

What you need to know.

Legal Definition of fiduciary relationship

A relationship in which one party places special trust, confidence, and reliance in and is influenced by another who has a fiduciary duty to act for the benefit of the party — called also confidential relationshipfiduciary relation

Does it matter who pays your financial advisor? We think it does.  As a fee-only financial services firm, you are the only one who pays Lenox. We believe an independent business model brings an independent opinion.

Unlike financial advisors who are compensated by selling proprietary products, Lenox advisors do not receive any product based compensation and, therefore, are not subject to a conflict of interest when accessing and bringing forth products and opportunities for the benefit of each client.

Our clients are not confused about where our interests align. If your accounts increase or decrease, so do our revenues. Your interests drive our decision-making. 

It is our Fiduciary Relationship with you!

It’s your tomorrow.  Call us for a complimentary review.  

 

Call 513.618.7080 or visit www.lenoxwealth.com to Fund A Life You Love.  

Please contact your investment and tax advisor prior to making any decisions. 

Past Performance is not indicative of future results.

This newsletter is limited to the dissemination of general information pertaining to its investment advisory/management services. This is not intended to be personalized investment advice. Please contact a Lenox adviser if you would like additional information.

Cincinnati COOKS! from the Freestore Foodbank Non-profit of the Month

Cincinnati COOKS! from the Freestore Foodbank Non-profit of the Month

Cincinnati COOKS! from the Freestore Foodbank Non-profit of the Month

One in six of our neighbors in the tristate area are at risk of hunger. In response, the Freestore Foodbank partners with 400 partner agencies to provide emergency food assistance to our neighbors in need.

Many people do not know that in addition to providing food, we also wo­rk to help individuals and families attain self-sufficiency and stability in their lives.  So, in addition to feeding the line, we also work to shorten the line.  One of the ways in which we help is to provide job training in fields where there is a high demand for skilled workers. As Cincinnati’s food scene grows, restaurants need trained employees who are ready to work.

Cincinnati COOKS! is a free culinary job training program for under- and unemployed individuals. During the 10-week course, students learn the mechanics of a commercial kitchen, as well as professional and life skills to ensure success in the food service industry and in their personal lives. Course topics include: food safety, food inventory and storage, basic nutrition and knife skills. In addition to our staff, COOKS! students benefit from the experience of learning and working with volunteer chefs and professionals.

Since the program began in 2001, over 1,500 people have graduated. Those students have gone on to find employment at more than 200 local culinary institutions including restaurants, school cafeterias, retirement communities, corporate dining halls, and catering companies.

Meet Marilyn, one of our graduates: http://freestorefoodbank.org/programs/cincinnati-cooks/

Following graduation from Cincinnati COOKS!, students are eligible to enroll in our Second Course program. The eight-week course provides advanced skills training for management opportunities and employment in fine dining restaurants. Graduates from Cincinnati COOKS! and Second Course can continue their education at Cincinnati State, entering with 30 academic credit hours toward an Associate Degree in Culinary Management.

Cincinnati COOKS! not only provides the community with skilled chefs, but also helps to create stability and self-reliance in the lives of our neighbors. For more information about the Freestore Foodbank and to find out how you can get more involved, visit https://freestorefoodbank.org/

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Where do you start to create and build wealth?

Where do you start to create and build wealth?

Where do you start to create and build wealth?

We say, “Imagine a future even better than your past.”

 

We’ve been thinking about the conversation that you, we, all of us have in our head any number of times. You know… the one about what it would feel like to pursue what you really want to do in life and what it could mean to your personal happiness. How it could affect the way you start each day, the way you interact with family and friends, and how you feel about life in general.  You get energized just thinking about the possibilities, right?  And then the fears return.  I can’t give up the job I have. I can’t forego the security of a paycheck. I can’t put my dreams first.

 

But what if you could? What if the thing you’re turning your back on could actually provide you more income, more security, and far greater happiness? It’s the unknown that’s always the hurdle, right?  However, what if you were to explore your real potential without risking your current job security?  Suppose someone could help you discover your inherent personal strengths, affirm their value, and show you how to turn them into financial strengths.

 

Turning your “what if” into reality might be the best move you’ve ever made to create and build both wealth and personal happiness. We see it happen every day among our clients.  Want to discuss how we can help you turn your personal strengths into financial strength and steer you to a future even better than your past, give us a call. It’s one more way we help you get unstuck, unafraid and unrelenting about your ability to FUND A LIFE YOU LOVE.

 

It’s your tomorrow.  Call us for a complimentary review.  

Call 513.618.7080 or visit www.lenoxwealth.com to Fund A Life You Love.  

Please contact your investment and tax advisor prior to making any decisions. 

Past Performance is not indicative of future results.

This newsletter is limited to the dissemination of general information pertaining to its investment advisory/management services. This is not intended to be personalized investment advice. Please contact a Lenox adviser if you would like additional information

Lenox is a HERO Sponsor for THE WARRIOR RUN RACE FOR LIFE

The Warrior Run: The Race for Life is a family-oriented fundraiser that benefits Cincinnati Children’s Hospital Medical Center’s (CCHMC) Surviving the Teens® program plus local in-school mental health programs.

The Warrior Run: The Race for Life  features a 5K race, and one-mile walk that will be held Saturday, September 30, 2017. The  1M is at 5:15 p.m., the 5K at 5:30 p.m. Both courses start and finish at the Bell Tower @ Dogwood Park, off Pleasant Street, in the historic Village of Mariemont,Ohio.

Kid’s Fun Run starts at 7 pm.

Make it a night—enjoy a beautiful setting, a scenic run/walk through Mariemont, great food, music, carnival-style kids games and a movie at dark. Don’t miss the fun!

Register at www.cincywarriorrun.or

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How corporate change may change your financial future

How corporate change may change your financial future

How Corporate Change May Change your Financial Future

Are You Ready for What's Next?

 

Corporate change is here.  Big companies especially are going through a reset of sorts as they rethink, resize and reposition themselves to meet consumer needs in today’s very different global marketplace. The result is a churning of roles and a feeling of uncertainty that’s affecting people at all levels across a multitude of industries. 

As major corporations are increasingly faced with potential mergers and/or takeovers, where do you as a loyal employee fit into the picture?  Should you stay or should you go?  If the latter, what is your exit strategy?  Where are your best new career options and how do you prepare for them now while still employed?  What about the retirement benefits that you likely have accumulated?

Amidst the unknowns, who’s looking at the impact on you, your family, your financial planning and your future?  Who’s identifying opportunities for you to come out financially stronger, more secure in your career, and happier from a family and life planning perspective?  If you’re concerned about financial planning, wealth building and wealth management for you and your family, you’re not alone. 

This may be the time you engage the advice, guidance and networking power of a trusted financial advisor who also specializes in career coaching –- an experienced professional to help you look at positive, productive next steps regarding…

  • Your Job Security.  Does your job add more value inside your company or outside your company? There may be opportunities within your area of expertise that are more valuable outside your company than inside.
  • Relaunching Your Career.  How do you relaunch your current career or perhaps pursue an entirely new direction? If you leave your current field, what will you do next?  How do you go about exploring new opportunities while still taking care of day-to-day family and financial responsibilities? 
  • Positioning Yourself for Your Strongest Future.  Who can identify your strengths and key you into your strongest assets?  How do you gain the knowledge and confidence to turn your personal strengths into financial strengths?  Is it possible that you could be among the ranks of people who never see their work as work because it’s what they love to do? 

At Lenox, we see things through your eyes. We understand the many directions in which you can feel torn and the angst that comes with feeling out of control when it comes to your career and financial future.

We guide you through challenges wherever you are in your career and whatever life-stage decision you face.  We help you with wealth creation and wealth management to optimize not just your portfolio, but also your life. This can mean life-changing transformations, where we show you how to get where you want to be. 

If you’re wondering who’s looking at the impact of corporate change on you, your family and your future, we are at Lenox.  We help you get ready for what’s next.

Our services include: Re-launching Your Career, Financial Planning Services, Professional Networking, Business Purchase, Startup or Succession, Investment Planning, Stock Options Strategy, Retirement and Estate Planning among others.

It’s your tomorrow.  Call us for a complimentary review.  

Call 513.618.7080 or visit www.lenoxwealth.com to Fund A Life You Love.  

Please contact your investment and tax advisor prior to making any decisions. 

Past Performance is not indicative of future results.

This post is limited to the dissemination of general information pertaining to its investment advisory/management services. This is not intended to be personalized investment advice. Please contact a Lenox adviser if you would like additional information.

John Lame's Special Broadcast of August 2017 P&G Outlook

AUGUST 2017 P&G OUTLOOK

John Lame of Lenox Wealth Management has recorded a SPECIAL BROADCAST to comment on the importance of the proxy fight that is currently taking place at Procter & Gamble, and what that might mean to your family. He discusses the importance of those currently working at Procter & Gamble to have a career plan and financial plan to support it.

He also discusses two questions many of those at P&G are currently asking: 

  • Will P&G break up?
  • How / when will headcount be reduced by 50 percent?

WATCH THIS VIDEO for the full update, or read this AUGUST 2017 P&G OUTLOOK by Lenox Wealth Management for additional insights.

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Exclusive Lenox Interview Clayt Daley, Retired P&G CFO, Trian Advisor

Exclusive Clayt Daley Interview

Two years ago, Lenox advised P&G clients and shareholders that if P&G did not improve profitability and fix the pipeline for new products, it was likely another investor would take a significant ownership position in P&G and begin to push for change.

Today, P&G is in the middle of a proxy contest with Trian Fund Management, L.P. (“Trian”), one of P&G’s largest shareholders which is seeking a single Board seat for its CEO and a founding partner, Nelson Peltz.

In the typical situation, we would expect Lenox and P&G employees and retirees to side with Management and the Board by approving their slate of proposed directors. However, this determination has been complicated by several factors:

  1. Former P&G CFO Clayt Daley, has joined with Trian as an advisor. 
  2. The Company and its stock price have significantly underperformed industry and competitor benchmarks for many years. 
  3. The Board and David Taylor have taken the unusual step of launching an aggressive defense campaign which has been estimated by some to be expected to cost up to $100 million to prevent Nelson Peltz and Trian Partners from securing a single board seat, even though Nelson, if elected, has committed to proposing that the P&G Board immediately re-appoint which ever director is not re-elected at the P&G annual meeting of shareholders. 

As you will recall, Lenox Savings and Loan was created in 1887 by William Cooper Procter to help meet the financial needs of the Procter & Gamble community. In 2004, Lenox took the proceeds from the sale of the savings and loan and launched a family office. Today, Lenox has a significant number of P&G employee, retiree and executive retiree clients, who have been negatively impacted by the underperformance of P&G stock over the last 10 years. 

John Lame, the CEO of Lenox, worked at Procter & Gamble in finance and accounting from 1979 to 1991, where he reported to Mr. Daley. 

In an attempt to gather more complete and objective information to advise clients, Mr. Lame contacted Mr. Daley and asked him to respond to specific questions about his involvement with Trian and the ongoing proxy contest with Procter & Gamble.
 
CLICK HERE to read John's interview with Mr. Daley.

Sincerely,

The Lenox Wealth Management Team
www.fundalifeyoulove.com
800.472.5734

 to read John Lame's interview with Mr. Daley.

Clayt Daley, former Chief Financial Officer at Procter & Gamble, current advisor to Trian

Clayt Daleyformer Chief Financial Officer at Procter & Gamble, current advisor to Trian

Wealth Management Strategies for Dual-Income Families    

Wealth Management Strategies for Dual-Income Families    

Wealth Management Strategies for Dual-Income Families    

7 Steps to Financial Freedom and Less Stress

Being a dual income couple (especially if you have kids!) can feel like an overwhelming load of responsibilities and a constant time-crunch.  However, on the flip side, the two incomes can provide you plenty of opportunity to create significant wealth and establish financial freedom for your family, beyond what most single-earner families are able.

Here are 7 wealth management strategies every dual-income couple should consider:

1)      Max out your 401k: You can contribute up to $18,000 per year if you are under age 50 and up to $24,000 if you are over 50. Additionally, many companies offer a company match. It’s a triple win – you can save for retirement, get matching contributions from your employer, and enjoy the tax savings. If you don’t have access to your 401k, you may be able to contribute to an IRA and deduct the contribution on your taxes.

2)       Use deferred compensation: The majority of people are in the highest tax bracket during their working years, and then their tax bracket lowers considerably in retirement. If your company has a deferred compensation program, it’s a great way to manage your income while you are working and delay taxes until you are in a lower tax bracket. This strategy typically allows higher limits for putting money aside than a 401k, and you don’t need to wait until age 59-½ to access your monies.

3)      Know how your benefits work: Many large companies offer robust employee benefits that employees simply don’t understand or don’t take time to learn about and access. Make sure you are contributing to your Health Savings Account, Flexible Savings Accounts or other flexible benefits program. Doing so can provide you access to certain benefits at a pre-tax rate, which can save you anywhere from 15%-50%, depending on your tax rate. Who needs coupons? J

4)      Have a safety net in place: In today’s economy, it’s likely you will change job 10 to 20 times during your lifetime. Make sure you have an emergency cash fund in place (6 to 12 months of after-tax expenses) to give you a cushion for when you need to make a change. Also, make sure you have disability and life insurance in place for the unexpected.

5)      Don’t forget about college! College expenses have increased on average twelve-fold over the last 30 years. A great way to save for college and have the savings grow tax-free is a 529 Plan.  Parents and grandparents can, individually or as a couple, open and contribute to a 529 Plan for each child.  Depending on where you live, you may also get a deduction on your state taxes. In Ohio, contributing to a 529 can get you a tax deduction of $2,000 per child.

6)      Outsource what you can: Cleaning help? Grass cutter? Chauffeur for the kids? Meals delivered to your door?  Yes, please. When you look at how much you earn, it’s often less expensive to outsource the work you don’t love to do (both financially and emotionally) than to use your time to try to do it all yourself.

7)      Treat yourself: It’s easy to get stressed out day-to-day with the endless things to do, both at home and in your career.  Block a day at least once a quarter to take a day trip, get a massage, have a date with your spouse, meet friends for lunch, or read a book, relax and not worry about what else gets done.

In addition to the above seven, there are other wealth management strategies well suited to dual-income families.  The earlier in your careers that you put such strategies in place, the even greater your potential for building wealth as you allow the time-value of money to work to your advantage.  We’d love to tell you more.

It’s your tomorrow. Call us for a complimentary review - 513.618.7080.

Important Disclosure:  This material presented by Lenox Wealth is for informational purposes only.  It is not intended to serve as a substitute for personalized investment advice or as a recommendation or solicitation of any particular security, strategy or investment product. Investments in securities and other investment products entail risk, including the risk of loss.

 

August 2017 Outlook on Procter and Gamble (P&G)

August 2017 Outlook on Procter and Gamble (P&G)

August 2017 Outlook on Procter and Gamble (P&G)

Current P&G Stock Outlook:

  • We are maintaining our 12-month outlook of $96/share.

  • In our $96/share target, we have included a $6/share reserve for upside reflecting the positive impact of Trian Partners $3.5 billion investment in P&G and pending proxy fight to secure a board seat for Nelson Peltz. We would have increased our 12-month outlook to $102/share and included a $12/share reserve if Trian was not facing a proxy fight with P&G.

  • For perspective, Wall Street analysts have an average 12-month stock price target of $92.37/share.  Analyst forecasts currently range between $80/share and $104/share. Please note there has been a $0.87 or 0.9% increase in the Wall Street Analyst average since our May 2017 outlook.

Highlights of P&G’s Quarterly Results:

  • P&G continues to deliver on the forecast, but the overall results are very incremental.
  • P&G had total organic sales growth of 2% for Q4 FY 2017.
  • P&G reported fourth quarter fiscal year 2017 net sales of $16.1 billion, unchanged versus the prior year (this includes a negative 2% impact from foreign exchange).
  • Organic sales increased or were unchanged in three of five business segments.
  • Core earnings per share were $0.85, an increase of 8% versus the prior year.
  • Operating cash flow for the quarter was $3.7 billion.
  • During FY 2017, P&G returned nearly $22 billion of value to shareholders as dividends, share exchanges and direct share repurchases.

Fiscal Year 2018 Guidance:

  • FY 2018 guidance continues to be incremental; top line revenue growth remains uninspiring.
  • P&G’s guidance for organic sales growth is in the range of 2 – 3%.
  • P&G expects all-in sales growth of around 3%.
  • P&G anticipates core earnings per share growth of 5 – 7% versus FY 2017 of $3.92; primarily driven by core operating profit growth.
  • The company expects the lowest organic sales and core EPS growth results to occur in the first quarter of FY 2018.
  • For FY 2017, dividends are expected to be in the $7 billion range, with additional share repurchases of $5 billion. This $5 billion does not include a $9.4 billion share reduction from the Coty sale.  
  • We expect the combination of Trian headlines, dividends and share repurchases will keep modest upward pressure on the stock while reducing downside risk if there is U.S. market correction due to a recession.

 Understanding our $96 Price Target:

  • The main drivers necessary to reach our $96 price target include:
    • Nelson Peltz of Trian Partners is “backdoored” into Proxy fight by P&G Management & Board—Nelson has strong track record of adding value for shareholders. Our sincere hope was that the Board would invite him to take a Board seat. We are disappointed that time is being wasted on a proxy fight. Trian is a large shareholder and deserves Board representation, even if management believes they already have the best plan and don’t need help. We do not believe that P&G’s current plan brings a “private equity” mindset to the company. We believe Trian can bring an additional $30 to $40/share in value to the price of the stock. Despite Trian’s recent publicity to the contrary, we do not believe they can bring this value without pushing for more aggressive headcount reductions, insisting on higher value added spending on R&D and marketing, challenging the current dividend policy where earnings are double taxed, or pushing for increased purchases of shares through low-cost debt. We believe the Board has been slow to act and has only provided leadership when forced. We believe that the P&G Board needs to be shaken up, even if P&G has the right management team, strategic plan and ensures increased accountability. We believe it’s a legacy Board from the AG days and we do not believe strong leadership has been demonstrated by this Board. We recall one of our clients who submitted a resolution to split the CEO/chair roles, and that P&G legal did everything possible to make sure the resolution was not included in the proxy. We admire David Taylor, but his leadership strength is primarily known for incremental change and steady as she goes leadership. The outside world has been changing faster than P&G. The performance has been poor. The Board, the management team, and the employees need to be challenged to do better. We believe that in order to add value, this Board needs to bring a stronger outside point of view and push, when required, for more transformational change. We just don’t see transformational leadership showing up without Nelson’s involvement on this Board. We do not see the $30 to $40 of additional share price without Nelson’s direct involvement. We believe that there is at least a 50% probability Institutional Shareholder Services (ISS) will side with Trian and Nelson will be elected to the Board.
    • Continued Cost Cutting—P&G continues to focus on driving out organizational inefficiencies. After completing a $10 billion initiative launched in 2012, P&G launched another $10 billion cost savings initiative. The company expects much of this cost savings to come from driving down the cost of goods and increasing productivity. Based on history and guidance, it is unclear what percentage of the $10 billion will go to the bottom line.
    • Sales Growth P&G is forecasting all-in sales to increase 3% in fiscal year 2018.
    • Share Repurchases—P&G completed $5.2 billion of direct share repurchases in fiscal year 2017. The company expects to buy back an additional $4 to $7 billion in fiscal year 2018. Share repurchases will continue to be a critical component of our price target.
    • Macroeconomic, Political, and Competitive Risks—P&G identified several key risks that they have not taken into consideration in their FY 2018 guidance: Significant deceleration of market growth rates, further political and economic volatility, further currency weakness, and further commodity cost increases.

 

It’s YOUR tomorrow.

Contact us for a complimentary review. For Lenox recommendations, call us at 513-618-7080 or email info@lenoxwealth.com

 

Please contact your investment and tax advisor prior to making any decisions. 

Past Performance is not indicative of future results.

This newsletter is limited to the dissemination of general information pertaining to its investment advisory/management services. This is not intended to be personalized investment advice. Please contact a Lenox adviser if you would like additional information.

Source: P&G Earnings Release 07/27/20

Deupree Meals on Wheels Non-Profit of the Month

 

Since 1989, Deupree Meals On Wheels has proudly delivered over ONE MILLION meals to homebound Cincinnati elders.

Deupree Meals On Wheels is a service from Episcopal Retirement Services, administered in partnership with the Council on Aging of Southwestern Ohio, that empowers older adults to remain in their homes by delivering hot meals, made just for them, right to their doorsteps.

Deupree Meals On Wheels is made possible through the kindness and generosity of PEOPLE LIKE YOU. Charitable donations help support the cost of food, and committed volunteers deliver not only delicious and nutritious meals to Deupree Meals On Wheels clients, but also compassionate companionship.

With your support, in 2017 Deupree Meals On Wheels will deliver over 100,000 meals to over 380 older adults.

To learn more about Deupree Meals On Wheels, please click here:

https://www.episcopalretirement.com/deupree-meals-on-wheels