Resource Search

While inflation continues to trend below target, the possibility for unexpected higher inflation shouldn't be ignored. A shift in Fed policy has resulted in a stance that lowers the likelihood of combatting inflation for the foreseeable future. And the impact of inflation on certain investment strategies should be considered during portfolio construction.

Although no previous election year had this year’s unique set of circumstances—a global pandemic, an economic recession, the fastest equity market correction on record (and subsequent recovery), multiple natural disasters, and social unrest—there are some insights available when examining the individual effect of each variable. Facing a year of momentous challenges and uncertainty, how should investors position their portfolios?

In this quarterly update, see the key areas of focus that drive investment returns and the implementation strategies around six themes that include a demand for responsible investment.

Global equities were hit hard during the first quarter of 2020, erasing most of 2019's gains. Credit-oriented fixed income was also hit, but to a lesser extent, while U.S. Treasury bonds perfored well. Investors may find portfolios out of balance relative to target allocations. Is now the time to rebalance?

It’s time to consider year-end planning for a year that has been an unusual one, with taxpayers experiencing losses due to the economic downturn and the possibility of higher income tax rates next year. Consequently, it’s time to rethink the traditional year-end advice of deferring income and accelerating deductions to minimize one’s total tax liability over the years.

The first half of 2020 was marked by a return of volatility to the global capital markets as the fallout from the COVID-19 pandemic rippled across the globe. The market rallied during the second quarter under an aggressive central bank policy, coupled with optimism that economic indicators had bottomed. Turning to the fall period, the landscape for the primary alternative asset classes starts with a hedge fund update and ends with how COVID-19 has dramatically changed outcomes for commercial real estate.

Business divorces are often messy. The reasons vary—personality-driven disputes, disagreements over business direction, or timing and distribution of earnings. When majority owners seek advice of the company’s attorney to formulate a plan to force out a minority owner, the company expects this advice to be covered by the attorney-client privilege. But in Illinois, minority members of LLCs may be able to obtain copies of communications between the LLC’s managers and its attorneys.

Those with ownership stakes in privately held businesses, partnerships, or family offices need to closely collaborate with and trust others. But when there is a disagreement or dispute, it can create a situation where someone is looking for ways to force out owners of non-controlling shares and seek the advice of the company’s attorney to formulate a plan. For an Illinois LLC and their majority members, there are steps that can protect otherwise privileged communications from disclosure to minority members in advance of and during litigation.

Solving disputes among business partners and owners in a privately held business can quickly become complicated matters that end up calling for access to an LLC or corporation’s privileged communications. Only in rare circumstances can there be access to those privileged communications. Most courts apply a fact-intensive test that is difficult to satisfy. A closer look at the rule explains how it applies to Illinois corporations and business entities organized in other jurisdictions.

For high-net-worth individuals, establishing an incomplete non-grantor (ING) trust is a useful planning tool that provides income tax benefits to grantors residing in states with high state income tax rates or states that do not recognize the federal grantor trust rules. There are several steps to properly structure an ING trust, and it begins with the state selection.