LATEST ON KSAT DOT COM ON OUR HOMEPAGE. YOU CAN FIND IT ALL, INCLUDING THE BONDS THAT
PASTOR, SOME OF THE LOCAL
SCHOOL DISTRICTS.
>> ALL RIGHT. SO INTEREST
RATES, THE FED 5.29, WE HEAR
THESE TERMS SO MUCH IN OUR
LOCAL INTERNATIONAL NEWS, BUT
THEY MIGHT HAVE A REAL IMPACT
ON YOU AND YOUR FAMILY. THAT’S
RIGHT. JOINING US IN TODAY’S
LEADING SA SEGMENT IS MONICA
DYLAN. PRESIDENT VICTORY
SOLUTIONS OF
>> VICTORY CAPITAL. JOINING US
LIVE. GOOD MORNING, SIR.
THANK YOU SO MUCH FOR WAKING UP
WITH US THIS MORNING.
>> GOOD MORNING. IT’S GOOD TO
SEE YOU
GUYS. AGAIN.
>> THANK YOU SO MUCH. SO WE
HEAR ABOUT THE REPORT ON THE
FED CONTINUOUSLY RAISING
INTEREST RATES. CAN YOU KIND
OF BREAK DOWN WHAT THE PURPOSE
IS AND REALLY HOW IT IMPACTS
OUR LOCAL FAMILIES?
>> YEAH, IT’S AN IMPORTANT
TOPIC FOR FOR EVERYBODY OUT
THERE. YOU KNOW, WE’VE BEEN
FEELING THE IMPACT EVERYONE HAS
OF INFLATION FOR SOME TIME.
ALRIGHT, WHERE PRICES HAVE GONE
UP PRETTY QUICKLY. IN POST
COVID ENVIRONMENT. AND THAT’S
WHAT THE FED IS TRYING TO COME
BACK. THEY’RE TRYING TO.
DAN BEEN OR CONTROL THAT
INFLATION AND THE WAY THEY DO
THAT IS BY INCREASING INTEREST
RATES AND THAT THE WAY THAT
HAPPENS IS THAT THAT MAKES IT
MORE COSTLY FOR INDIVIDUALS
AND COMPANIES TO BORROW MONEY.
70’S, YOU TEND TO SPEND LESS
INVEST LESS AND THAT HELPS
CONTROL DEMAND AND BRINGS
PRICES DOWN BUT IT ON THE FLIP
SIDE OF WHATEVER IMPACTS
INTEREST RATES CAN HAVE.
YOU HAVE TO LOOK BACK AND SAY
THE GOAL IS TO BRING DOWN
INFLATION, WHICH WAS VERY
PAINFUL. ALSO. SO WHAT DOES
THIS MEAN FOR MARKET RATE SON?
YEAH, AND WE’VE SEEN IT WITH
INCREASING INTEREST RATES.
THE COST TO BORROW GOES UP AND
THAT’S FOR ANY TYPE OF
PURCHASE, REALLY, THAT YOU’RE
YOU’RE BORROWING MONEY FOR AN
END. THE HOME IS OFTEN THE THE
LARGEST PURCHASE THAT A FAMILY
CAN MAKE. SO INTEREST RATES
HAVE GONE UP. AND WHAT THIS
DOES IS IT MAKES BUYING A NEW
HOME MORE EXPENSIVE THAN IT
WAS PERHAPS 2 YEARS AGO.
FOR EXAMPLE, IT’S SOMETHING TO
PAY ATTENTION TO. SO FOR THE
SAME AMOUNT OF MONEY YOU CAN
AFFORD LESS OF A HOUSE OR
POTENTIALLY FOLKS AND FAMILIES
ARE WAITING WAITING LONGER,
WAITING FOR MAYBE PRICES TO
COME DOWN OR INTEREST RATES TO
COME DOWN BEFORE THEY MAKE THAT
PURCHASE.
WANT TO TRY TO LOOK AT THE
SILVER LINING OF THIS, MONICA.
SO WITH HIGHER INTEREST RATES.
>> IS THERE ANY BENEFIT?
I MEAN, SAVINGS ACCOUNT, YOU
KNOW, IS THERE ANY WAY FOR
LOCAL FAMILIES TO ACTUALLY USE
THIS TO THEIR ADVANTAGE?
>> NO, IT’S A GREAT QUESTION
BECAUSE IN MOST SITUATIONS
THERE IS A POSITIVE TO TICKS
TO EXTRACT FROM IT RIGHT.
AND ONE OF THOSE IS THAT
SAVINGS RATES AND MONEY MARKET
RATES HAVEN’T BEEN AS HIGH AS
THEY ARE NOW FOR QUITE SOME
TIME. SO ACTUALLY TAKING CASH.
IF YOU HAVE IF YOU SAVE A
LITTLE BIT CASH, YOU GOT THE
RAINY DAY FUND. YOU CAN
ACTUALLY EARN A NICE YIELD OR
INTEREST RATE RETURN ON IT.
AND ONE IN LIKE MONEY MARKET
EARLY RISK-FREE INVESTMENTS.
A LOT OF CONVERSATIONS WE’RE
HAVING WITH CLIENTS. OUR ABOUT
WHAT TO DO WITH THAT LITTLE BIT
OF CASH THAT YOU MIGHT HAVE
SAVED UP IN THE LAST COUPLE OF
YEARS. HOW TO PUT IT TO WORK
FOR AROUND MONEY MARKET,
SHORT-TERM BOND FUNDS, THINGS
LIKE THAT.
>> SO WE’VE SEEN COLLEGE PRICES
JUST KEEP GOING UP OVER THE
LAST SEVERAL DECADES. SO HAS
COLLEGE IS FAST APPROACHING
FOR SOME FAMILIES AND STUDENTS.
WHAT STRATEGY DO ADVISE TOO,
MAKE TO THAT COST MORE
MANAGEABLE FOR THEM?
>> WELL, ONE
OF THE
>> TOUGHEST THINGS ABOUT SAVING
FOR COLLEGE IS INFLATION,
RIT? CAUSE INFLATION LEADS TO
MORE EXPENSIVE TUITION BILLS
OVER TIME. A COLLEGE SAVINGS
PLAN IS A GREAT TOOL TO HELP
COMBAT THAT BECAUSE IT CAN
PARTICIPATE IN INCREASING
PRICES AND STOCKS AND BONDS IS
INFLATION STARTS TO PICK UP SO
YOU CAN TRY TO KEEP PACE AND
THE BEST WAY TO DO THAT IS IN A
CONSISTENT WAY. SO A LOT OF OUR
CLIENTS WE TALKING ABOUT USING
WHAT’S CALLED AN AUTOMATIC
INVESTMENT PLAN SO THAT WAY
YOU’RE NOT HAVING TO TIME THE
MARKET AND WHETHER YOU’RE
SAVING FOR COLLEGE OR
RETIREMENT. AND JUST
CONTINUOUSLY PUT A LITTLE BIT
OF MONEY TO WORK EVERY MONTH.
EVERY QUARTER AND THAT WAY YOU
CAN ENTER AND SAVE IN IN A MORE
SMOOTH ASPECT OVER TIME.
AND SO A COLLEGE SAVINGS PLAN
CAN BE A GREAT WAY TO COMBAT
INFLATION DOES TO TUITION
BILLS.
>> ALL RIGHT. NOT ACT ON.
THANK YOU SO MUCH FOR JOINING
US THIS MORNING. REALLY
APPRECIATE YOUR TIME. ANYONE