April 2016 Newsletter to Clients

Enjoy this month’s edition that features an update on the economy, changes to Moneywatch ADV and cyber security tips.

Economy & Fed Outlook - David Rubenstein is an American financier and philanthropist best known as co-founder and co-chief executive officer of The Carlyle Group, a global private equity investment company based in Washington D.C. He is also currently serving as chairman of the Kennedy Center for the Performing Arts and chairman of the board of trustees at Duke University, his alma mater. According to Forbes ranking of the wealthiest people in America, Rubenstein has a net worth of $2.5 billion.

Rubenstein recently shed his concerns about a U.S. economic slowdown in favor of a "pretty optimistic" outlook. He told CNBC's "Squawk Box" that his change of heart developed over the past month or so. Rubenstein said he sees a "real pickup," as the Federal Reserve appears to be on track for a less aggressive approach to hiking interest rates.

Moneywatch remains confident in its positive outlook for economic growth. We would like to see more increases in the Federal Funds rate because of our large holdings in variable rate income interests, such as BlackRock and Lord Abbett funds. According to a Reuter’s report on the Fed, Janet Yellen, Chairwoman, indicated she would not want to raise rates unless data, such as increasing inflation, proved such a move timely. Fed watchers are eyeing June for the next rate increase.

Compliance - Annually, Moneywatch updates its ADV which it files with the Securities and Exchange Commission, the official document and its plain English version, our Brochure, describe the details of how our company operates. We are required to send you an update with the Material Changes each year and have included it in this mailing. If you are interested in receiving the full document, please contact the office directly or access it on our website; www.moneywatchadvisors.com/company-info

Cyber Security – Moneywatch has updated many internal compliance procedures over the past 6 months, most recently our Cyber Security Policy. Cyber breaches pose a risk to anyone who operates over the internet. If you believe your computer has been hacked, you should take the following steps:

1. Disconnect from the internet immediately. The best thing to do while continuing to investigate is to disconnect from the internet and online connectivity. That way, if a hacker is still in your computer, you've just removed the source of connection.

• Pull the router plug out of the socket to be absolutely certain there is no connection!
• Print this page off or PDF it before powering down so that you can continue to follow the instructions offline. Or, read it on a separate device that isn't hacked.

2. Start up the computer in safe mode. Keep it disconnected completely and use your computer's safe mode to reopen it (check the computer's operating manual if you're not sure what to do).

3. Check if there are any "new programs" (eg. Anti-virus, Anti-spyware, etc.) OR if programs and files won't work or open. If you find anything, uninstall it as best you can. If you don't know how, get a computer-savvy helper or call mobile computing help to come and do it for you.

4. Do a sweep of your computer with an anti-virus/spyware scanner you trust (for example, Avast Home Edition, AVG Free edition, Avira AntiVir, etc.). Again, get someone knowledgeable to help you if you're unsure what to do.

5. If that turns up with nothing, back up important files. Then do a complete system restore and update the computer.

6. Contact your bank and any store accounts you have to alert them to a possible problem. Ask them for advice about what to do next to protect your funds.

7. Alert friends that they may have received compromised emails from you. Warn them to delete the emails and to not follow any links if they have opened them.

8. CONTACT MONEYWATCH DIRECTLY. 

Thank you for your continuing confidence.

Past performance is no guarantee of future results. The opinions expressed are those of Moneywatch Advisors, Inc. and are no guarantee of the future performance of any particular fund. This information is for educational purposes only and is not intended as investment advice. Please consult your financial advisor for more detailed information or for advice regarding your individual situation.