On Tuesday, January 23, 2024, I had minimally invasive heart surgery to repair mitral valve prolapse at University of MD, St. Joe's Medical Center (SJMC). I had known for over six years that this would eventually need to be done, but my annual echocardiogram did not indicate any worsening …..until last September. While I still really did not have any symptoms, an echocardiogram and other tests showed the condition had worsened, and it was time to talk to surgeons about options.

In a year where nearly every “expert” predicted a continued decline in the market, almost every area of the stock market posted double-digit positive returns. US Large Cap Growth stocks led the way after suffering the worst losses in 2022, bouncing back with a 47% return. Value stocks lagged badly behind growth stocks but were still up 12% on the year. Even international stocks had a very strong year, with developed market stocks up 18% and emerging market stocks up 12%.

We’ve written about HSAs before, calling them a hidden gem that more people should use to help put away money for retirement. These accounts are “triple tax-advantaged” as contributions are tax-deductible, earnings grow tax-free, and distributions are tax-free as long as they are used for qualified medical expenses. We have many clients who utilize HSAs, and I personally fund my own each year. As we head into the end of the year, I thought it would be helpful to provide a review of HSAs, along with some of the planning tips I picked up from Kelley’s presentation.

My wife and I have talked about doing a hot air balloon ride for years. I’m not the adventure-seeking type and am not a big fan of heights, but she is. I will never be jumping out of airplanes with her, but this felt like something I could handle. We also knew we wanted to try to see another solar eclipse after our last incredible experience in 2017. So when I noticed that there was a solar eclipse crossing Albuquerque this year, the same weekend they were holding their annual Balloon Fiesta (the largest in the world!), I knew we had to be there!

After nine months of sprinting, the equity markets took a break to catch their breath in the third quarter. The S&P 500 posted a loss of about 3% after three straight quarters of positive returns over 7%. US Small Cap stocks were down about 5% in the quarter, while international developed market stocks were down 4%. Despite the negative returns this quarter, the 12-month return numbers still look great, with the S&P 500 up 21%, US small caps up 9% and international developed market stocks leading the way with a 26% return.

Memento Mori is a reminder that none of us wants, but one that we all need. It’s a Latin phrase meaning “remember - you will die.” None of us are immortal, yet we often live trying to ignore our mortality. Then something happens - a serious medical diagnosis or the death of a close friend or relative - and we are forced to face reality.