Dear Clients:

We are writing this letter in response to Friday evening’s announcement by Standard & Poor’s (rating agency) to lower the US Credit rating from AAA to AA+ and assign it a negative outlook. This once-unthinkable action has raised many questions among our clients including: what has happened so far; what are Jay & Craig planning to do; and what, if anything, should I do?

We anticipate the markets will continue to be volatile and in some circumstances, lacking in normal liquidity. Given that we are in unchartered territory, it is of course difficult to be precise and accurate about movements in specific markets. Sentiment will also be impacted by what is taking place in Europe.

These are markets where you do not want to be forced to transact unless something has changed in your financial outlook or emergency financial needs are to be met. Instead, the key is to have the ability to react to exceptional opportunities presented by this volatility.

We understand you are probably feeling very fearful right now. We urge you to continue to maintain your long-term investment perspective and remember to not allow the short-term fluctuations in the market affect your long-term investment objectives.

In closing, while the ratings’ change is a newsworthy event that will be with us for years to come, let us hope that the “silver lining” is greater attention to a longer-term solution that will put the United States back on a path to economic prosperity.  Please rest assured, that irrespective of what happens in Washington (and Europe), we will do our best to help you navigate through these turbulent times.

Sincerely,