VESTED Summer 2017

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Find Your Tribe

Ysabel Durรณn Broadcasting a New Story PLUS America First?

Running Strong Passing on the Joy of Giving Entrepreneurship Over 50

SUMMER 2017

At CAPTRUST, we believe we have a profound responsibility to share our success with those less fortunate than us. One way we do that is through the activities of the CAPCommunity Foundation, our in-house, employee-run charitable foundation. Its mission is to enrich the lives of children in communities we serve. The foundation, a registered 501(c)(3) charity, was formally organized in 2007 to provide our employees with opportunities to participate as a group in community outreach efforts and to offer their time, passion, and financial support as a way to give back.

“The thing to do, it seems to me, is to prepare yourself so you can be a rainbow in somebody else’s cloud… be a blessing to somebody. That’s what I think.”

– Maya Angelou

We invite you to like the CAPCommunity Foundation on Facebook.

www.capcommunityfoundation.org | toll free: 855.649.0943 4208 Six Forks Road, Suite 1700 | Raleigh, NC 27609

Volume 3, Issue 2 | Summer 2017 PUBLISHER

It’s hard to believe that VESTED is already in its third year, and we continue to be encouraged by the feedback we receive from readers. Most uplifting is when we hear how our work has touched somebody in a positive way. This recently happened when a colleague in Charlotte told me the story of a client who, prompted by a VESTED article, took up tai chi and is now a passionate practitioner.

Our summer 2017 cover features Ysabel Durón as this issue’s Second Act hero. A successful broadcast journalist, her battle against cancer prompted her to create Latinas Contra Cancer, an organization that is raising awareness about cancer, increasing access to quality care, and educating individuals on the importance of early detection and screening in San Jose, California’s Latino community.

This issue’s columns and features cover a variety of topics, including: • The importance of maintaining social connections and how to do it; • The surge in entrepreneurship among the 50-and-older set; • Tips on how to make sure your next years are your best years; and • Instilling philanthropic values in children and grandchildren.

This issue’s must-read article is “Running Strong” by Amby Burfoot, 22-time Boston Marathon runner. Now 70 years old, Burfoot reflects on his 1968 win, the 2013 bombing, and what keeps him going. He also offers a few dos and don’ts for aspiring runners in this issue’s Expert Angle.

And, finally, David Hood from CAPTRUST’s

J. Fielding Miller Chief Executive Officer

EDITORS John Curry Editor in Chief

Jennifer Liebel Managing Editor

EDITORIAL ADVISORY BOARD

Ben Goldstein hands a 30-Year Service Award to Fielding Miller at the most recent Synergy meeting.

Consulting Research Group adds his thoughts on the impact of the new administration in Washington on the markets.

As always, our primary aim with VESTED is to provide you with timely, relevant, and actionable ideas and recommendations. Please help us by sending your thoughts, reactions, and story ideas to us at VESTEDmagazine@captrustadvisors.com.

Jeremy Altfeder Financial Advisor

Land Hite Senior Vice President, Financial Advisor

Lauren Bartholomew Senior Client Management Consultant

Greg Middleton Director, Advisor Group

Rush Benton Senior Director, Strategic Wealth

Aaron J. Morris Vice President, Financial Advisor

Hugh (Trae) Cole Financial Advisor

Mark Paccione Director, Investment Research

Ellen Crowley Vice President, Financial Advisor

Teri Parker Vice President, Financial Advisor

Nick DeCenso Manager, Wealth Strategy

Alysia Tacinelli Client Management Specialist

Karen Denise Senior Manager, Wealth Operations

Kyle Tucker Vice President, Financial Advisor

Mike Gray Senior Vice President, Financial Advisor

Tiffany Walker Senior Wealth Planner

ART DIRECTION & MARKETING Lonzetta Allen Associate Art Director

Jennifer Liebel Production Manager

Harrison Brackett Jennifer Mastrapasqua Graphic Designer Distribution Manager

All the best,

John Curry Art Director

Colby Warren Graphic Designer

WITH THE ASSISTANCE OF

J. FIELDING MILLER CAPTRUST Chief Executive Officer

Azul Photography Raleigh, NC

Classic Graphics Morrisville, NC

Design by Joseph Raleigh, NC

Tony Avelar Photography Santa Clara, CA

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FIND YOUR TRIBE

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YSABEL DURÓN

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by Kim Painter

Broadcasting a New Story

by Jennifer Brookland

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PASSION PURSUITS

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MONEY TALKS

23

EXPERT ANGLE

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LASTING LEGACY

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GLEANINGS

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CLIENT CONVERSATIONS

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MARKET REWIND

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CAPTRUST HAPPENINGS

Entrepreneurship Over 50

by Nanci Hellmich

Running Strong

by Amby Burfoot

When Her Rise Means More Bread

by Kathleen Burns Kingsbury

Passing on the Joy of Giving

by Nanci Hellmich

FAR FROM FINISHED

Planning Successful Transitions

by Kim Painter

AMERICA FIRST?

Running Dos and Don’ts

by Amby Burfoot

by David Hood

KIM PAINTER Kim Painter is a freelance writer specializing in health and lifestyle issues. She was a USA TODAY staffer for many years and has continued to contribute to the newspaper as a reporter, columnist, and blogger. She lives in McLean, Virginia, where she practices what she preaches: wearing sunscreen, eating broccoli, and getting at least 10,000 steps a day.

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FIND YOUR

by KIM PAINTER

Take a walk alone and you get some exercise. Take a walk with a friend— or a group of friends—and you get something more.

“When you walk, you talk, and you never know where that will lead,” says Deborah Woller, 62, a retiree who lives in Naples, Florida.

One place it’s likely to lead is to more walks, with all their physical and mental health benefits.

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The same can be said for sharing a healthy meal with a friend or working with like-minded folks on a soul-lifting volunteer project.

When you do it together, you are more likely to keep doing it, social and behavior scientists say.

And that’s just one reason that large, supportive social networks are linked with greater health and longevity—and that loneliness is linked with everything from runny noses to premature death.

So it’s not surprising that many experts worry about a longterm trend: Americans seem less connected than they used to

be. In 1985, an average U.S. adult had three close confidants with whom he or she could discuss “important matters,” according to a government survey. By 2004, that number had dropped to two. It has remained that low since then, says Matthew Brashears, an associate professor of sociology at the University of South Carolina.

While that might not seem like a big drop, “it means you have fewer people backing you up,” he says. Confidants can be family members, he notes, but the decline is most pronounced among non-family Continued on page 6

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connections—the friends, neighbors, co-workers, and other community contacts that are part of a rich social network.

Researchers are not quite sure why this is happening, but they believe that job instability and geographic mobility play roles. The influence of the Internet, for good and ill, is only now starting to get serious scrutiny.

What is clear is that a lot of us could use a few more good, healthy friendships.

Americans seem less connected than they used to be. In 1985, an average U.S. adult had three close confidants whom he or she could discuss “important matters,” according to a government survey. By 2004, that number had dropped to two.

ENTER THE BLUE ZONES Back in 2004, a writer named Dan Buettner got the assignment of a lifetime: National Geographic asked him to travel the world to learn the secrets of the world’s longest-living cultures in areas the magazine dubbed Blue Zones. Buettner and his team visited Okinawa, Japan; the Italian island of Sardinia; the Greek island of Ikaria; Costa Rica’s Nicoya Peninsula; and the Seventh-day Adventists of Loma Linda, California.

The result was a best-selling book, The Blue Zones: 9 Lessons for Living Longer from the People Who Live the Longest. As the title suggests, Buettner and his team found nine things those people do similarly, including eating lots of plants and not spending very much time sitting around. They also found that these groups tended to have strong personal ties within their families and their communities.

But the book, updated in 2012, was only the beginning.

Since its initial publication, the Blue Zones lessons have been translated into health projects in 37 communities in nine states. The projects are backed by Healthways, a health-promotion company based in Franklin, Tennessee. Working with local governments, insurers, and others, the local projects urge grocery stores and restaurants to offer healthier foods, nudge planners to approve more movement-friendly sidewalks and bike lanes, and ask citizens to connect with one another in health-promoting ways.

The idea is to find “the right tribe,” people who will join and support you in taking up and maintaining healthy habits, says Blue Zones vice president Michael Acker. Social connection is not just part of the program, he says: “This is the foundation, the base of the pyramid. It supports everything else.”

Blue Zone residents are urged to join groups that walk together, get together for healthy potluck dinners, or engage in group volunteer

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work. The groups are dubbed moais (pronounced mow-eyes), after social groups that Buettner discovered in Okinawa. The Okinawan friendship groups are composed of people who may know each other for a lifetime and depend upon one another for social, emotional, and even financial support.

In U.S. Blue Zones communities, moais are not solely for lifelong friends. In fact, they welcome newcomers. That’s how Woller, the Naples retiree, ended up in a walking group that she says has changed her life for the better.

A few years ago, the divorced mother of four grown children was living alone in Wisconsin when a fall on the ice led to hip replacement surgery. That was a “shocking and shattering” experience that convinced her that she needed to shake up her life, she says. She moved to Florida, determined to adopt a more active and connected lifestyle.

Naples is a Blue Zones city, and soon after moving there, Woller heard about moais during a presentation at her church.

“I knew that’s where I was going to meet people like me who wanted to move more,” Woller says. “I knew that would be my social club, the right tribe.”

Her walking group, based at her condominium community, includes not just year-round residents, but also folks who live elsewhere for part of the year. That’s a lifestyle difference that could make it hard for the neighbors to stay in touch. But the group stays connected by meeting every Saturday morning for a 2.5-mile walk.

The benefits are physical and mental, Woller says: “There’s nothing better for the human heart than to share an activity.”

Julie Short, a 62-year-old retired teacher, had a similar experience when she and her husband Gayln, 65, moved from Duluth to the Blue Zones city of Albert Lea, Minnesota. The couple made the move to be near their son, daughter-in-law, and grandchildren.

But they realized they would need some new social ties to thrive in their new hometown.

“There typically are two ways to make connections when you are an adult: through your work and through your children in the school system,” Short says. But as retirees with grown children, she says, “we had neither of those.”

that the project as a whole is improving lives. For example, Naples was named the U.S. city with the highest overall well-being for the last two years in a Gallup-Healthways Well-Being Index survey.

And Albert Lea, which started participating back in 2009, has seen increases in walking and biking, higher sales of fruits and vegetables, lower soda sales, and decreased employer health costs (thanks largely to smoking cessation efforts), according to a recent progress report.

There is broader research that suggests the focus on human connections will pay off. For example, studies suggest that healthy habits, including eating small portions and maintaining

So, like Woller, the Shorts started by joining a church and getting involved in volunteer causes. But they also signed up for a potluck moai and, later, a walking group.

Short says she has always been active, “but it is so much nicer when you have someone to walk and talk with.” She says her walking group has become a key support system. “We share each other’s triumphs and each other’s problems. We pray for each other. We socialize outside of the walking moai. These are people we can call up any time,” Short says. “I’ve told my husband that I feel closer to some of these people than I do to some of the people I’ve known my whole life.”

Moais also can help longtime residents make new connections.

Consider Jean Eaton, 65, the owner of a concrete overlay company and a former mayor of Albert Lea. She met the Shorts and other neighbors who might have remained strangers when she joined a potluck moai. Thanks to the group, she has learned to love more vegetables and to follow what Blue Zones calls the “80 percent rule”—ending her meals when she feels 80 percent full. The dinner meetings also are a lot of fun, she says. “We drink our wine (also a Blue Zones suggestion) and have lots of laughs.”

THE POWER OF SOCIAL SUPPORT Research done on the U.S. Blue Zones Project communities does not separately break out the effects of the moais. But there are signs

“I’ve told my husband that I feel closer to some of these people than I do to some of the people I’ve known my whole life.”

Julie Short (pictured above with her walking group)

healthy weights, can spread from person to person, almost like infectious diseases.

Research also suggests that loneliness can literally make us sick.

People with weak social ties are more likely to become disabled or depressed. One recent study even found Blue Zone residents are urged to join groups that walk that lonely people reported worse cold symptoms. together, get together for healthy potluck dinners, or And it gets worse. Researchers from Brigham Young University reviewed 148 studies and found that social engage in group volunteer work. The groups are dubbed isolation was strongly associated with premature death, moais (pronounced mow-eyes), after social groups that packing a wallop similar to that of smoking or inactivity.

Buettner discovered in Okinawa.

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“That science is very strong,” says Burt Uchino, a professor of psychology at the University of Utah. He says it’s not clear how social support extends lives, but one theory is that “having a wide sociallnetwork, being connected to a lot of people, gives us motivation to take care of ourselves.” Good relationships—setting aside those that are troubled or especially complicated—also seem to reduce stress, which in turn reduces blood pressure and harmful inflammation while boosting immunity, he says.

Uchino says it’s less clear how to turn that science into interventions that improve health and well-being.

The Blue Zones projects may be doing that, but researchers and communities around the country are trying other approaches, too, says Dr. Dianne Liebel, an assistant professor of nursing at the University of Rochester. Interventions include everything from enlisting gas meter readers and community volunteers to look in on isolated residents to training medical professionals to check on their patients’ social safety nets as routinely as they check blood pressure, she says. There’s also potential in online social networking, she says, though studies in that area are in early stages.

And, of course, almost every community has good, old-fashioned YMCAs, senior centers, service clubs, and other places where people can meet to do good for themselves and, often, their communities, says Acker, the Blue Zones vice president.

MAKE YOUR OWN BLUE ZONE Want to turn your life into a personal Blue Zone?

Here are nine ways: MOVE NATURALLY. You don’t need to run marathons. Instead, build movement into your day: walk, garden, or take the stairs. Get rid of your riding lawn mower.

FIND YOUR PURPOSE. Have a reason to get up in the morning— something that makes a difference.

DOWNSHIFT. Take time to relieve stress. Enjoy a happy hour or a long meal with friends, meditate, practice yoga, or pray.

FOLLOW THE “80 PERCENT RULE.” Stop eating when you feel 80 percent full.

EAT WITH A PLANT SLANT. Eat more fruits, vegetables, grains, nuts, and beans—and less meat.

DRINK RED WINE (IN MODERATION).

That means having one or two drinks a day, preferably with food, family, and friends. (And note, at least one Blue Zone group, the Seventhday Adventists, does just fine without alcohol.)

BELONG. Participate in a spiritual community. If you don’t have a particular faith, explore your options with an open mind.

PUT LOVED ONES FIRST. Make family time a priority. Try to eat together at least once a day.

FIND THE “RIGHT TRIBE.” Spend more time with friends who support your healthy habits.

Dan Buettner Author of The Blue Zones

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YSABEL DURÓN

BROADCASTING A NEW STORY

by JENNIFER BROOKLAND

Always happy to chatter away, Ysabel Durón was talking up a storm with her three older siblings one night while her mother cooked tortillas on the stove. Her exasperated father erupted from behind his newspaper in the other room. “You kids shut up or I’m going to take you out of that Catholic school!” he boomed.

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Durón’s family was poor. The Catholic school in her hometown of Salinas, California, was an expense that might have seemed like an unnecessary extravagance. And two more siblings were still to come. But for her mother, it was a way to show her children that her expectations for them were high and that their futures were bright with possibility.

Durón’s mother drew up her five-foot-one frame and faced her father.

“I pay for that school,” she said, swiftly ending the argument as she turned to deftly flip another tortilla. But Durón, who was already a master of observation at age 11 or 12, saw something in their exchange that shaped her understanding of the world. She saw power.

She saw determination. She saw independence.

“I thought to myself; if you want to be in charge of yourself, you have to have your own money; a good job; good education,” Durón says.

“I connected those dots for myself at that time, and some part of me made a pact that that’s how I’d have to drive my life. If ever anything threatened, I’d do my damnedest to fight back.”

Durón’s battles started before she even left home, when she followed her dream of becoming a foreign correspondent and applied to the best opportunity she saw: the journalism program at San Jose State University. The college was 50 miles from Salinas, where her mother had risen from the bottom to become a manager at the cannery. Durón never expected her own mother would stand in her way.

“Why don’t you go to local junior college and become a secretary?” her mother suggested. Durón’s mother had dreams for her daughter, but as Durón says, they weren’t her dreams. And they weren’t big enough.

“I recall very clearly saying to her, ‘I don’t care what you say. It’s my life and I have to take care of it now,’” Durón says. “I knew

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clearly what I had to do and that I was in charge of me and that I would push back, even against a mother who was so supportive.”

Durón continued pushing and charting her own course. That move to San Jose was her first stride toward claiming the independence she yearned for. Plenty more followed. As Durón climbed the ladder of the broadcast journalism world in San Francisco, Boston, Chicago, and Los Angeles, first as a reporter and, before long, an Emmywinning anchor, she never shied away from the tough issues: she “I recognized that I had the tools, opportunity, covered everything from school shootings, the influx of Guatemalan and lived experience that I could share. They refugees, and social justice movements to failures in the country’s education system. could read a cancer story every day of their For Durón, it was imperative to provide news and stories that were honest and real, no matter how hard. “I tell people the truth and sometimes they’re not ready for it,” she says. Durón pushed herself relentlessly to succeed despite the obstacles, the naysayers, and the loneliness of often being the only woman and the only Latina around.

She built a strong backbone and a tolerance for adversity.

lives, but the minute you put a face to it, they listen and feel something and respond as a result.”

Ysabel Durón

Too soon, she would need both. It felt surreal when the doctor told Durón she had cancer. She was 51 years old and felt perfectly healthy. The idea that something growing inside her could kill her didn’t compute.

What made sense to Durón was to do a story about it. That’s how she worked. Durón had made a successful career of using personal stories to illuminate important issues. Here was one that was more personal than ever. “I recognized that I had the tools, opportunity, and lived experience that I could share,” Durón says. “They could read a cancer story every day of their lives, but the minute you put a face to it, they listen and feel something and respond as a result. I had spent a career sticking a mic in people’s faces and asking them to share their pain. Why should I be exempt?”

The camera followed Durón on her first day of chemotherapy, recorded her as she felt the weakest she’d ever been in her life, zoomed in on her exhaustion and her nausea during the 12 weeks of chemotherapy, followed by four weeks of daily radiation treatments. Some nights she came home and collapsed and cried to God to take the pain away.

But every weekend, no matter how she felt, Durón arose, put on her makeup, and went to work at the television station. She cut her Continued on page 12

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Almost everyone needs education, screenings, psychosocial support, and hands-on help navigating the healthcare system, but Latino culture can affect the way both men and women seek treatment.

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hair down to the nubbins. She worked with her producer to turn her journey into a three-part series on her battle, focused on advances in cancer research, support groups, and other issues related to women and men affected by cancer. “I was determined to be in control of it instead of it being in control of me,” she says.

Durón felt incredibly fulfilled by the award-winning “Life with Cancer” series. She received letters from people who related to her struggle and found inspiration in the way she covered it. Those letters, for her, reflected the reasons she’d become a journalist in the first place.

But she was feeling less and less fulfilled by her career. The cancer diagnosis never shook Durón to her core—never made her reevaluate her life and her priorities. But as she reflected on her work, Durón began to wonder if the cancer was a manifestation of a toxic environment she had started to enjoy less and less. The Internet was about to change journalism irrevocably; she didn’t think her editors were paying attention. She was starting to feel more like a tool than a craftsperson. And she realized she was never going to become the foreign correspondent she had always dreamed of being.

Having cancer forced Durón to pause. “I stopped long enough in this illness to hear that I wanted something more in this time,” she says.

So when researchers from the Cancer Prevention Institute of California turned to Durón for help reaching out to low-income

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Latina women with breast cancer, she said yes. “I didn’t retire,” Durón says. “I just kept moving.”

In 2003, Durón founded Latinas Contra Cancer, an organization that increases access to quality care, educates individuals on the importance of early detection and screening, works to decrease mortality rates, and improves the quality of the healthcare experience.

CAUSE FOR CONCERN 125,900

Latinas are diagnosed with cancer each year.

Latinas have among the highest cervical and gallbladder cancer incidence rates.

Latinas are diagnosed with more advanced breast cancers, possibly due to lower mammography rates or delays in follow-up after abnormal mammograms.

Almost everyone needs education, screenings, psychosocial support, and hands-on help navigating the healthcare system, but Latino culture can affect the way both men and women seek treatment. And patients with limited English proficiency are among the most vulnerable populations—prey to more medical errors and worse clinical outcomes, according to the American Medical Association Journal of Ethics.

Cancer is now the leading cause of death among Latinos.

Based in San Jose, California, Latinas Contra Cancer is raising awareness in the local Latino community and also adding a sometimes-forgotten voice to the national conversation on cancer.

“In a way, it’s one person at a time; if you can impact their lives, you win,” Durón says.

“I’m not afraid to fail. But I’m committed to make change.”

The dogged approach Durón refined as a journalist makes her a tireless—and Continued on page 14

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courageous—nonprofit leader. The traits she developed over years of hunting down stories and asking the tough questions equipped her to barge in where others fear to tread.

LATINAS CONTRA CANCER

“I sit at tables where I sometimes feel my voice is loud and shrill, but I refuse not to talk,” she says. “One of the most important things I’ve learned is to talk even when you’re afraid.”

speaking, and uninsured women. Latinas bear an extra

Durón won an Encore.org Purpose Prize in 2013, the same year she officially ended her career as a journalist. Journalism will always be Durón’s passion, she says. But now, fighting cancer is her mission.

And as someone who’s been calling the shots for most of her life, she intends to keep pushing.

Latinas Contra Cancer provides educational, preventative, and early intervention services to low-income, Spanishcancer burden due to many factors, including reduced income, language barriers, social and cultural beliefs, a lack of knowledge and awareness, and other social determinants.

LCC seeks to address each of these issues with programs to help these women, and raise awareness of the risk of cancer to this population by supporting the National

“I am doing something of value and self-value, and that is where all humans want to be in their lives whether they admit it or recognize it or not,” Durón says. “I want to know that I helped somebody. I want to go out the door knowing I left a footprint.”

Latino Cancer Summit and collaborating with research and community partners.

255 North Market Street | Suite 175 | San Jose, CA 95110 For more information, visit latinascontracancer.org.

American Cancer Society, “Cancer Facts & Figures for Hispanics/Latinos 2015-2017”, 2015.

Centers for Disease Control and Prevention, “Cervical Cancer Rates by Race and Ethnicity”, 2015.

National Latina Institute for Reproductive Health, “Cervical Cancer & Latinxs: The Fight for Prevention & Health Equity Fact Sheet”, 2017.

VESTED Voices: Pro Athletes Giving Back When legendary athletes like Rod Brind’Amour, Ricky Proehl, and Thomas Davis speak, you want to pay attention. And you’ve never heard them more engaged, dedicated, and inspired than by the work they’re doing to give back to their communities.

To watch this episode, visit www.captrustadvisors.com/vestedvoices.

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ENTREPRENEURSHIP OVER 50 by nanci hellmich

Starting your own business feels a lot like taking off on a zip line. The first step off the platform is exhilarating and terrifying, but you quickly realize you are wearing a harness and are attached to the line, says Stephen McCauley, 53, who has his own marketing communications firm in Arlington, Virginia. You know you wouldn’t have made this decision if it didn’t make sense, so you think, “I’m tethered. I’m OK,” he says.

McCauley has experienced the excitement and fear of starting a company. He toyed with the idea for years, but it wasn’t until he was approaching his 50th birthday that he realized the time was right personally, professionally, and financially.

After working for 28 years for two global public relations firms, McCauley knew how to manage global teams and clients but wasn’t sure how to run his own shop. “I bought a handful of books about small business and then dove in.”

He decided the best approach was to treat himself like one of his former clients. He wrote a detailed business plan and concept proposals to make sure his ideas would resonate with potential clients.

Then in 2014, he launched the Ginger Network, which provides

communications advice to commercial food and nutrition clients. His team includes two dozen consultants seasoned in market research, publicity, nutrition science, and the culinary arts.

The bottom line today: He’s making as much money as he did when he was working for large companies, and he’s excited about all his projects. “I was always an enthusiastic person about my work, but I never knew it could be so much better.”

More people who are 50 and older are starting their own businesses, often pursuing lifelong dreams and passions. In 2015, almost a quarter of all new entrepreneurs were ages 55 to 64, up from 14.8 percent in 1996, according to the latest data from The Kauffman Index of Startup Activity.

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Some people form a consulting firm, while others open a restaurant, art gallery, dog-walking service, landscape firm, or tutoring company.

Many pursue an idea they had in the back of their minds for years.

Identify Your Motivation Their motivations for taking this step vary. Gallup surveyed 229 entrepreneurs over age 50 who began businesses later in life and found that 32 percent started their own ventures because it allowed them to be independent; 27 percent wanted to pursue their interests and passions; 24 percent wanted to increase their incomes. Only 10 percent said they pursued an idea for a new product or service that solves a problem or meets an unfulfilled need in the market.

To identify the talents needed to create a thriving venture, Gallup studied 2,500 entrepreneurs of all ages. The results show that the top 10 qualities of successful business owners include a profit-oriented focus, confidence, creative thinking, the ability to delegate, determination to overcome obstacles, independence, the drive to acquire in-depth knowledge, the talent to promote the venture, the ability to build relationships, and the skill to manage high-risk situations.

Very few people are strong in all these qualities, Badal says. Would-be entrepreneurs should think of these talents as a checklist to figure out what they’re good at and where they may need to form partnerships or delegate responsibilities to get the best results, she says.

People over 50 are often seeking purpose, passion, and a paycheck, says Marci Alboher, vice president for communications at Encore.org and author of The Encore Career Handbook. Those who seem satisfied with this stage of life tend to share common characteristics like flexibility, a desire for lifelong learning, and a certain amount of patience, as transitions always tend to take a while and involve lots of detours, she says.

Polish Your Skills Being flexible, patient, and persistent paid off for Melissa Ford, 58, of Oak Park, Illinois. She had a private law practice for 10 years before she quit to raise her two children and help her husband start an interior and exterior signage company.

Most of them were not pursuing high-growth businesses. Instead, they were tackling ventures that allowed them to stay engaged, Sangeeta Bharadwaj Badal earn income, remain productive, stay independent, and pursue something they love, says Sangeeta Bharadwaj Badal, principal scientist for entrepreneurship and job creation at Gallup and coauthor of Entrepreneurial StrengthsFinder, written with Jim Clifton.

“Some became part of the maker movement to create and sell products they’re passionate about.”

About half of the entrepreneurs created businesses in professional, technical, scientific, educational, and healthcare-related fields, Badal says. “Some became part of the maker movement to create and sell products they’re passionate about,” she says.

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For several years, she and a friend dabbled in helping others launch businesses, but they struggled to make money, partly because they didn’t have an effective sales strategy, she says. As she approached 50, Ford decided it was time to create her own solo entrepreneur venture as a business and life coach. She didn’t want to get to the end of her life, and say, “I never really gave it a shot.”

She knew her biggest weakness was her inability to sell her services, so she hired a business coach who understood the philosophy of service, which is helping someone before they even pay you. He taught her that if she could make a big enough impact in people’s lives, they would see the value of continuing to work with her as paid clients.

Testing her coach’s advice, Ford began taking on prospective clients for no charge. If they found that her suggestions worked, they’d hire her. Using this service strategy, her business boomed.

She now earns six figures coaching entrepreneurs in service-based industries, including photographers, personal chefs, dietitians, attorneys, and coaches. Many people are very talented at their craft but have no idea how to sell their services, she says. When they move from hating sales to loving it, their businesses prosper, Ford says.

Weigh the Risks Not surprisingly, some people are skeptical of taking the first step of launching an enterprise. They’re afraid of losing money or failing in front of their families and friends. However, successful entrepreneurs are not risk-takers; they are calculated risk-takers, says business consultant Leonard Green, co-author of The Entrepreneur’s Playbook.

When Green was in his 70s, he helped with the creation of Blue Buffalo pet food. After the company started growing and needed more funding, Green took a mortgage on his home. He says this was a calculated risk because he believed in the company and saw the potential for growth. That said, he advises his clients not to invest more money than they can afford to lose, which is generally no more than 10 to 20 percent of their net worth.

Smart business owners find ways to reduce risk in everything they do, he says.

They do their homework, figure out what the competition is doing, and then take small steps toward their goals. They ask themselves how they can make each step more cost effective and produce better value than they planned.

They make sure they have enough money when they begin and then manage what they have carefully, Green says.

Rather than trying to invent something entirely new, entrepreneurs should study what the competition is doing and then improve on the quality, pricing, or service of their competitors’ products or services. People over 50 are often equipped to do that because they have the time, expertise, negotiation skills, desire, and experience it takes to succeed, he says.

Pursue Your Passion The trick to most ventures is to find something you are passionate about.

Inside every entrepreneur is a dreamer, says Michael Maloof. He and his wife, Michelle, sold two multimillion-dollar software companies. One they started; the other one they took over when it was struggling. Now Maloof consults with the owners of new businesses.

“People can create businesses out of their passions, as long as they recognize the skills they need help with.”

His companies made software products for small to medium-sized businesses.

Stephen McCauley “We took great pride in how we helped protect and grow these businesses,” says Maloof, author of The Startup Survivor. There’s nothing quite as rewarding as seeing your dream become a reality and building something of value, he says.

You don’t have to make a lot of money at your venture to find it gratifying, he says. If you’re helping others in some way, the feedback is incredible, he says.

“People can create businesses out of their passions, as long as they recognize the skills they need help with,” McCauley says. Accounting has been one of his biggest challenges. He has learned to pay close attention to it and get professional help.

Running your own business is a lot like parenting because you are never completely off duty. Your company is your baby, McCauley says. You always have your kids in the back of your mind, and the same can be said about your own company, he says. It’s passion that drives the work and the growth. “As frightening as it was to take the leap, I can’t believe I didn’t do it sooner,” McCauley says. “It has been amazing.”

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Michael Maloof Author of The Startup

Steps to Becoming an Entrepreneur Entrepreneur Michael Maloof, author of The Startup Survivor, offers these tips for launching a business:

Define your idea The best chance of success will be your ability to focus on building solutions to problems that customers will pay you to solve.

You should be able to define your business in a succinct answer that is your elevator pitch to customers and investors.

Float the concept Talk to people about what you’re doing to see if you’re on the right track. The sooner you involve potential customers and buyers, the more likely you are to build something they actually need. Investors are always anxious to see whether prospective customers are involved and to what extent.

Listen and learn Successful entrepreneurs recognize that there’s a lot they don’t know. They seek advice. People who are not coachable are going to fail. There are a lot of areas, such as bookkeeping, that you need to be good at when you’re starting a business.

Tackle one idea at a time Entrepreneurs tend to be idea factories, but they need to stay focused and do what is necessary to get out the minimum viable product. The faster you get to the market with something useful, the more time and money you’ll have for future generations and extensions.

Focus on profits Profit should be the goal from day one. The question for each purchase and investment from office space to marketing campaigns should be: Will this accelerate profitability?

Stay lean You will need to surround yourself with talented people to build and grow a company, but your best chance of success is to stay as lean as you can for as long as you can. Too often, new business owners hire too quickly and create cash flow issues.

Adapt when necessary Occasionally the original idea, while promising, was not the best idea. If you discover a flaw in your product or market, step back and consider the options. A pivot isn’t something you seek; it’s a reality you face.

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Survivor

FAR FROM FINISHED:

PLANNING SUCCESSFUL TRANSITIONS by kim painter

Nancy Schlossberg had spent a career studying adult transitions—life changes ranging from relocation to divorce to job loss—when she undertook some major transitions of her own.

She retired from her post as professor of counseling psychology at the University of Maryland and, with her husband, moved to Sarasota, Florida. She had a vague idea that she would find new, non-teaching work there.

“I thought it would be a piece of cake,” Schlossberg recalls. “I expected the world would want me to come work for them, and it didn’t happen. I was in a state of shock.”

Schlossberg did not despair. Instead, she started interviewing others grappling with the transition to retirement. The result was a book on successful retirement and then more books, including her most recent, Too Young to Be Old: Love, Learn, Work, and Play as You Age. Nancy Schlossberg Author of Too Young to Be Old: Love, Learn, Work, and Play as You Age

The fact that it was published just before Schlossberg’s 87th birthday suggests she figured out how to manage her own late-life transition just fine.

It’s a skill more of us need these days, as average life expectancy increases, requiring more changes of job and residence—and as millions of baby boomers face the big one: leaving their life’s work for whatever comes next.

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Continued from page 19

For many successful people, such transitions are identity crises, says Jack Beauregard, chief executive officer of the Successful Transition Planning Institute, based in Cambridge, Massachusetts. “People ask, ‘Who am I when I’m no longer a business owner, or who am I when I am no longer an attorney or accountant?’”

That’s a problem, but it’s also an opportunity.

“We are the first generation in the history of mankind to be given such longevity,” Beauregard says. He calls the time remaining after the traditional peak working years The Platinum Years®.

The website for his institute is ThePlatinumYears.com.

Nancy Collamer, a career consultant in Old Greenwich, Connecticut, and author of Second-Act Careers: 50+ Ways to Profit from Your Passions During Semi-Retirement, puts it another way: David Jarmul receiving a tika from a family friend during the Dashain holiday while he and his wife, Champa, were in Nepal.

“It used to be once you retired, you were going to have maybe 15 years left. Now, we have people who can expect to be in reasonably good health for maybe 30 more years. And to say the next 30 years are going to be all about golf and gardening just doesn’t make a lot of sense. People need to have a purpose. They need to find meaning in their lives.”

That does not necessarily mean “reinventing yourself,” Collamer says. Only so many accountants are going to become cattle ranchers.

But Beauregard says the process should involve finding your true self. His most recent book is called 7 Principles for Living With Authenticity: Discovering Your True Self When Facing Life Changes. “You have to know who you really are in order to know what you really want to do,” he says.

For some people, such introspection will lead to immediate, dramatic life changes.

Others will chart a more gradual course and stay closer to their moorings.

Jack Beauregard Author of 7 Principles for Living With Authenticity: Discovering Your True Self When Facing Life Changes

GETTING OUT OF DODGE—AND OUT OF A SUIT David Jarmul—who happens to be Collamer’s brother—is definitely in the first category. Not long ago, Jarmul, 64, was comfortably settled into family life with his wife, Champa, and his job as news and communications director at Duke University in Durham, North Carolina.

“We had quite a conventional life for 35 years,” he says. “We raised two children, we had several houses and mortgages over the years. We loved our life. But I always had a voice in my head that said, ‘You are not the guy in the suit.’ There was this other guy inside of me who wanted to come out again.”

That guy was the one who spent the first months after college traveling on the cheap around Europe, Africa, and Asia, before joining the Peace Corps to teach English in a Nepalese

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school. That’s where he met Champa, who taught at the same school and grew up in Nepal. The two fell in love, got married, and raised their family in the United States, where Champa worked as an ultrasound technician and, then, in more recent years, helped care for the couple’s grandchildren.

“I just wanted to get out of Dodge…and do something that would really occupy my attention every day for a long time to jump-start this new phase of my life.”

David Jarmul

It was a good life, but one they started talking about disrupting several years ago. To reduce future expenses, they accelerated their mortgage payments. And they kept their eye on the date, shortly before Jarmul’s 62nd birthday, when he would be able to leave Duke with his health insurance intact.

Jarmul, whose blog about the experience is called Not Exactly Retired, is working on community development projects. His wife is teaching English. Their home back in Durham is rented out, and most of their possessions have been given away. Jarmul says he expects to sell the house and further downsize upon their return in 2018.

Shortly after that date, Jarmul announced his retirement. A few months later, the couple hit the road. Their first adventure was a seven-week, 11,000-mile cross-country car trip to see old friends and explore new corners of the country.

And then? They are still figuring that out. “Some people think we’re crazy,” he says. “Some people say, ‘I wish I could do that.’”

“I just wanted to get out of Dodge…and do something that would really occupy my attention every day for a long time to jump-start this new phase of my life,” Jarmul says.

Then they were off to Nepal to visit Champa’s family and host some American relatives for a once-in-a-lifetime trip through the Himalayas. From there, the couple made the really big leap: They applied to join the Peace Corps (or rejoin, in David Jarmul’s case) in the former Soviet republic of Moldova, one of the poorest countries in Europe. That’s where they’ve been for the past year, living with a host family in the town of Ialoveni (pronounced Yah-lo-ven) and, they believe, making a difference.

A GRADUAL APPROACH The truth is, not everyone can—or wants to—completely upend their life at retirement. Diana Duffley, 63, of Hyannis, Massachusetts, is one of those people.

Duffley is one of several family members who own and run Hyannis Country Garden, a Cape Cod nursery and greenhouse business started by Duffley’s parents in 1965. “We are in the process of going from second-generation to third-generation management,” she says. Her daughter recently became the company’s general manager and president.

Duffley, who handles the company’s financial reports, is not quite ready to retire, but she is cutting back her work hours and expects to scale back further in the next couple of years. One of her major goals is to hand over the reins of the business with amicable family relationships intact—and to convince her husband, John, who is 66 and still working full time, to eventually join her on the sidelines.

But they won’t be far away, at least not anytime soon. That’s because the couple is raising their 10-year-old granddaughter.

“I have a little bit of a challenge because I became a mother again at 60,” Duffley says. And that has changed her planning and priorities.

World travel is out; taking care of her health is job one, so that she can be around for her granddaughter, she says.

Jarmul teaching a class at the library in Ialoveni, the small city where he and his wife live.

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Continued from page 21

WHAT’S YOUR RETIREMENT MODE? There’s no one right way to approach retirement. Here are six common paths identified by Nancy Schlossberg in her book Too Young to Be Old: Love, Learn, Work, and Play as You Age.

Continuers modify their activities, but try to maintain their working identities.

The retired director of an art museum might curate an occasional show; a retired roofer might join his old work crew in an emergency.

Adventurers see retirement as an opportunity to realize their dreams or pursue something new, whether that’s volunteering halfway across the world or launching a new business.

David and Champa Jarmul at the Thanksgiving Candle monument and chapel in Soroca, Moldova.

So she is looking at ways to fit more exercise into her life and maintain a sense of purpose outside of work. She is thinking about starting a children’s choir at her church and volunteering at a farm where disabled children learn to ride horses.

Duffley and her family are working on a business transition plan with The Center for Family Business at Northeastern University. She also is talking through her plans and goals with Warren Rutherford, a transition consultant trained at Beauregard’s institute.

Plans and goals are important, the experts say, but so is keeping an open mind—and remembering “life happens.” You may lose your job or business before you are ready to retire. You or a family member might get sick or a loved one might die. You might convince yourself that a life of golf or boating really will fill your soul—and then learn otherwise after a week or a month or a year.

That happens a lot, Beauregard says, especially when people make their plans based on overly rosy thinking.

But when your sands shift again, just remember, he says: “When all your world is in turmoil, that’s an opportunity to grow.”

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Easy gliders are done striving and are ready to take each day as it comes. They see retirement as time to relax.

Involved spectators still care deeply about their life’s work and, while they are no longer players, they keep watching from the sidelines.

Searchers are still looking for their niches and asking, “What’s next?” They may try one thing—and then another—before settling into another path.

Retreaters come in two types. Some step back and disengage for a while, before actively exploring new options, which can sometimes be a healthy choice. Others become depressed couch potatoes, which is not healthy.

RUNNING STRONG

by Amby Burfoot

We runners classify hills much as the Inuit distinguish snow conditions—very precisely.

There are bumps, inclines, and slopes so torturous they rip at the human spirit. The Boston Marathon’s infamous Heartbreak Hill falls into the last category—long, steep, and late in the race, at the 21-mile mark.

Since I first topped Heartbreak Hill 52 years ago, I have returned to face it another 22 times, including the April just past. The hill hasn’t changed, but I have. Once, I challenged Heartbreak Hill with all the youth and dreams I could summon. Now, at 70, I trudge upward to celebrate life, wellness, and optimism.

In 1968, I mustered a furious attack on Heartbreak Hill. I had to. While I was leading the marathon, the second runner was only inches behind, and he was a problem. I knew the guy, Marine Corps Lieutenant Bill Clark, and I knew that he could outkick me at the end. He had a sprint. I didn’t. If I couldn’t drop him on Heartbreak Hill, I wouldn’t win.

So I leaned forward, pumped my arms, and tried to ignore the hot sun and streaming sweat on my back. I couldn’t see Clark, but I knew

he was hard on my heels. Clark’s shadow tracked me menacingly, a spectral presence.

Worse, he was also as quiet as a ghost. I ran with the loud, heaving gasps of a steam locomotive. I had long dreamed of glorious victory at Boston, training up to 150 miles per week. Now, there was only agony, an envelope of percussive breathing, and the fear of defeat.

At one point, I swerved to the roadside and grabbed a sliced orange from a young boy’s hand. In the 1960s, the marathon provided no water, sports drinks, gels, or bars. The farther we ran, the more we dehydrated. I sucked juice from the orange—so sweet, so refreshing.

Renewed, I fought even harder to edge away from Clark’s shadow, but my effort failed.

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We reached the top of Heartbreak Hill together and began dropping down toward Boston proper. With still five miles to go, I felt utterly defeated. I almost collapsed on the spot and gave up the fight. Then Clark was gone. A miracle! I learned later that his thigh muscles cramped on the downhills, which some consider tougher than Boston’s uphills. I broke away on a stretch aptly named Cemetery Mile for those who have faltered there.

I ran the last five miles alone, feeling utterly vulnerable. It’s a rare and fantastic experience to lead the Boston Marathon, but also terrifying. What if another runner had conserved strength on the hills and saved himself for a come-from-behind chase?

Luckily for me, no one had. I broke the finish tape and sagged onto a race official like an overcooked noodle.

Jeff Johnson Photography

Burfoot winning the 1968 Boston Marathon.

“We finish the race because of who we are, and because we know that somewhere around the bend a stranger has a cup of water. Because just when we think we’ve hit a wall, someone will be there to cheer us on and pick us up if we fall. We know that.”

President Barack Obama

Before I knew it, someone had placed a diamond-studded medal around my neck and a laurel wreath on my head. I didn’t care. I only wanted a reunion with John J. Kelley— my coach, my mentor, my inspiration, and the last American before me to win the Boston Marathon (1957).

He was still running, and arrived 10 minutes later, wrapping me in a big hug. “I couldn’t have done it without you,” I said.

The photo of us together at that moment remains my favorite Boston Marathon memento. I felt I had become part of the Boston Marathon tradition. The torch had been passed to me.

A few years later I handed off to my former college roommate, Bill Rodgers, who would win Boston four times. We both take our role as torchbearers seriously. We hope to inspire future runners as much as we were inspired by the pioneers who preceded us.

Since 1988, the 20th anniversary of my Boston victory, I have run every five years with my friend John, an oncologist from Vermont. John was my very first running partner back in 1964. At the time, I was both several years older than him and quite a bit stronger and faster. Now, more than 50 years later, he beats me more often than I beat him—a sort of poetic justice I warmly accept.

We run as hard as we can against each other, but we’re not really competing. We’ve slowed and gained perspective. We know enough to recognize our good fortune: we can still enjoy our running friendship 50 years after it began. So much else has come and gone in our lives—parents, first spouses, and children who have moved out on their own—but we still have running. We try to appreciate every chance to run side by side. As I often tell John and others, “Every mile is a gift.”

In 2013, John and I had just reached the 25-mile mark, where one finally grows confident of finishing, when we were stopped midstride. In thousands of races, I had never encountered anything like this roadblock. Whaaaat? And 2013

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was a special year for me. I was celebrating the 45th anniversary of my win in 1968, eager to mark the occasion. Many runners grew frustrated, then angry, especially when we were dispersed and told the race was over.

We had no clue what had happened a mile down the road. I remember my guilt upon learning about the bombs, the deaths, the injured and maimed. The Boston Marathon has taught me a lot through the years, but never did I expect a lesson on the very meaning of life and our precious, perilous attachment to it.

For the next several days, we all wondered about the Boston Marathon’s future. Would the city continue to welcome the runners?

Would the runners themselves be too frightened to enter again? Then President Obama came to Boston to speak of courage and fortitude.

“Even when our heart aches, we summon the strength that maybe we didn’t even know we had,” Obama said from the pulpit of the Cathedral of the Holy Cross. “And we carry on, we finish the race.

We finish the race because of who we are, and because we know that somewhere around the bend a stranger has a cup of water. Because just when we think we’ve hit a wall, someone will be there to cheer us on and pick us up if we fall. We know that.”

Soon we all adopted the words “Boston Strong,” and marathon organizers were met by an unprecedented demand for entries in 2014. Every runner wanted to be on the starting line the next April.

We all wished to prove our resilience, to honor local residents, and to reclaim every step of our cherished Hopkinton-to-Boston route.

I have completed Boston every year since the bombs. These runs have been different than before—slower (an inevitable byproduct of aging) but also more spirited and more meaningful. I always tell new runners to “train the brain first.” When you do, everything else falls into place. Running is biomechanically simple. You need no special skills. But running can be psychologically difficult. It takes real effort.

I’ve kept going through the decades, not because I have exceptional motivation. Rather, I have the same aims as everyone else: health,

THE BOSTON MARATHON First run on April 19, 1897, it is the world’s oldest annual marathon.

The race is held the third Monday of every April, also known as Patriot’s Day. The top two finishers (male and female) each receive $150,000.

family, friends, and community. However, I suspect I concentrate more than most on the connections between running and other ends.

And that brain focus keeps me motivated.

I have run for the last four years in the blue-and-gold uniform of Team Martin Richard. Martin is the smiling, gap-toothed eightyear-old who died on the sidewalk in 2013. He was standing with his family just yards from the finish, cheering for us runners. Several months before the marathon, after the Sandy Hook school shooting on December 12, 2012, he had scrawled a now-famous poster— “No more hurting people. Peace.” Martin’s image and his message drew me in, and continue to stir me.

I’m not a very emotional sort of guy. You’d be more likely to call me a stoic. This is a quality that serves one well in the marathon, of course. There are so many times when you need to dismiss the pain.

But to cover 26.2 miles, you often need help from a deeper source.

That’s why so many modern-day marathoners run for a charity; it gives meaning to their suffering.

I had a moment this year at the 17-mile mark. I was turning a sharp corner, starting up the hills. This is where the negative thoughts often strike. “Have I got what it takes today?” I wondered.

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Just then I heard a loud voice. I never saw the speaker, but his words were clearly meant for me, and they pierced the noisy crowd sounds with resounding clarity. “Martin’s looking down on you,” the voice said. “And he’s very proud.” It made a difference; I felt a jolt of energy.

During the last four years, I have also handed out small thank-you cards. I carry about 100 double-sided business cards that display the famed Boston Athletic Association unicorn and the message: “Thank you, Boston Marathon fans. Your cheers and constant support are what makes Boston the world’s greatest marathon.” I sign off with the year of my first Boston Marathon, 1965, and my winning year, 1968.

As I run, instead of thinking about my discomfort, I scan the spectator throngs to look for likely recipients. Naturally, I favor the kids. Many have outstretched hands, hoping to slap five with the runners. I swoop toward them and press one of my cards tightly in their fist. It’s never too soon to encourage the next generation of Boston marathoners.

I don’t want you to get the wrong impression. I don’t run Boston with a grim purposefulness. I look for all the fun I can find. This year, I spotted plenty of signs that brought a smile to my face. “Toenails are vastly overrated.” “Chafing is sexy.” “You thought it said ‘rum,’ didn’t you?” “Run like you farted.” “If Trump can run, so can you.”

Burfoot and his wife, Cristina, at the 2014 Boston Marathon finish.

Heartbreak Hill has become my favorite part of the course. It represents the hardest and highest point of the Boston Marathon.

Nothing else is more symbolic.

In the old days, I raced past the coeds at Wellesley College and their Scream Tunnel without so much as a glance. This year, I tarried long enough to collect three kisses, a new personal record. I saw signs like “Kiss me, I’m gay,” “Kiss me, I’m straight,” and “Kiss me, I’m trans.” I figured, why discriminate?

Even more than Wellesley, Heartbreak Hill has become my favorite part of the course. It represents the hardest and highest point of the Boston Marathon.

Nothing else is more symbolic. When you reach the top of Heartbreak, you have surmounted the biggest obstacle. The rest is all frosting on the cake.

Next April, with some luck and continued good health, I will run Boston on the 50th anniversary of my victory in 1968. Winning has a different definition now; to finish is truly to win. I’ll settle into a slow, steady pace, accompanied by my friend John and a few family members. I will wear a Martin Richard shirt, hand out thank-yous, and try for a record number of Wellesley kisses.

Heartbreak Hill? Bring it on.

At Fenway Park, with a mile to go, I might hear a few lines from the Red Sox theme song, “Sweet Caroline.” They will give me a lift: “And when I hurt, hurting runs off my shoulders.”

Several blocks from the finish, where the explosions erupted in 2013, I will stop and slow to a walk, as I have every year since 2013. I will glance skyward to give thanks, then turn and bow toward Martin’s spot on the sidewalk.

The big clock over the finish line will still be running, but I will not be. There’s no rush now. Life is too good, too precious. This is a moment I want to cherish.

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RUNNING DOS AND DON’TS

by Amby Burfoot

DO

Start Slow and Stay Slow

Lifetime running requires the patience and consistency of a

DON’T

Obsess about Dehydration

Runners used to believe they should drink as

marathoner. Avoid the “terrible toos”—going too far, too fast,

much as possible. That advice has changed.

too soon. Slow but steady wins this race every time.

Now we drink when thirsty. Overhydration is actually dangerous. Drink modestly.

DO Find a Training Partner

Lifetime running and fitness require motivation. And there is no greater motivational trick than finding a training partner

DON’T Panic Over Injuries

Yes, runners get injured. But most injuries are

as committed to exercise and health as you are. Make sure it’s

relatively minor insults to soft tissues. In other

someone whose pace is compatible with yours.

words: mild aches, soreness, or muscle strains. When you rest for several days to a week, they go away. Then you can start

DO Practice Cross-training Activities

easy running again.

Running injuries are caused by overuse—

DON’T

just running and running and running.

So alternate running days with days

Expect Instant Weight Loss

Many people begin running to lose weight, and the success

when you bike, swim, strength

stories are truly astounding and inspirational. What’s more,

train, hike, walk, or do other

studies show that running is the absolute best way to keep

favorite physical activities.

weight off. But not everyone loses weight when they begin running. They just become fitter and healthier.

DO Run Races

When you sign up for a race, you’re making a personal commitment to be prepared to go the distance on race day.

That commitment will inspire you to train regularly.

DON’T Stop

As you pass through certain age barriers—50, 60, etc.—your running pace will slow, and you might develop more injuries.

This is discouraging, of course, but don’t stop. Research shows

DO Mix Running and Walking

that running and vigorous exercise deliver more benefits late

The best way to begin running, to recover from injury, or

in life than at any other

to increase your training is to use a run-walk system. For

time. Make appropriate

example, run two minutes, walk one minute, and repeat as

adjustments, and keep

long as you want. Beginners should gradually increase to

on running… and walking.

30 minutes.

DO Buy Real Running Shoes

Running is an inexpensive activity. The only essential piece of equipment is a good pair of running shoes, and the investment is worth it. Quality running shoes feel different on

your

feet (and the pavement), enhance your enjoyment, and prevent injuries.

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AMERICA FIRST?

by DAVID HOOD

The synchronized global expansion continued in the first quarter, leading markets higher and pushing U.S. stocks toward expensive territory. With both U.S. stock valuations and near-term economic data close to historic levels, the recent rally in U.S. stocks may run out of steam. Those challenges, in addition to infighting about the direction of fiscal and foreign policy and the rise of political risks, likely mean diversification will play an important role.

A FIRMING ECONOMIC BACKDROP The global economic and market recovery that started late last year continued in the first quarter. In the U.S. especially, market returns continued above trend as the prospects of business-friendly fiscal policy, coupled with an acceleration in positive economic reports, propelled markets higher.

Outside the U.S., economies strengthened at the start of 2017, leading to the most synchronized global upturn in years. More than three-quarters of the world’s leading economies showed broad gains—a stark contrast to a couple of years ago, when that number was less than half.

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Emerging markets have been especially strong. They have seen a noticeable pickup in trade and a nice lift in industrial production. Strong export numbers from India and import numbers from China support those claims. China is of particular importance to the health of the backdrop. While Chinese consumption eased somewhat to start the year, growth in imports signals confidence in the prospect of future growth and suggests future economic momentum. Other reliable leading indicators have been flashing positive signs, supporting broad-based gains overseas both in developed and developing economies.

A dovish Federal Reserve helped matters and provided cover for the rally. While the Fed raised rates in March, it surprised markets by lowering expectations for rate hikes later this year. Longer-term interest rates have declined since and should not provide a serious challenge to economic prospects for the time being.

As stocks have risen, though, valuation has come more into focus. The rally that continued this year has moved stocks toward premium valuations.

FACING HEADWINDS As stocks have risen, though, valuation has come more into focus. The rally that continued this year has moved stocks toward premium valuations. At the end of the first quarter, U.S. stocks were trading at roughly 20 times last year’s earnings—an expensive level. On a longer-term basis, stocks traded at almost 30 times earnings. By that measurement, U.S. stocks have been this expensive only two times in the history of the data: 1999 and 1929.

Recent U.S. economic data also appears to be bumping up against historic highs. For example, economic indicators, such as the Institute for Supply Management’s Purchasing Managers Index, have been strong and may be hitting peak levels. This creates a high probability that upcoming U.S. data reports will be weaker.

SURVEY SAYS? Moving beyond U.S. stock valuations and looking at other factors that unfolded this year, one major surprise has been the extent of Republican division on fiscal and foreign policy issues and the family feud that developed.

Given the sweeping Republican victory in November, a consensus view emerged that an aligned White House, Senate, and House of Representatives would tear through legislative priorities teed up from eight years of pent-up demand. But that has not happened to date. Republican infighting that led to an embarrassing setback in healthcare reform also called into question the future path of the Trump administration’s

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larger legislative agenda and created uncertainty around other major policy initiatives, such as tax reform.

On the foreign policy front, we saw the same thing when the globalist agenda being pushed by National Security Advisor H.R. McMaster collided with White House Chief Strategist Steve Bannon’s “America First” vision. During the first week of April, President Trump went from telling a trade group he didn’t want to be “the world’s president” to authorizing military action against Syria. Clearly, a struggle exists in the White House between a moderate globalist faction and an ideological, nationalistic one.

It is unclear which side will prevail and whether the recent military action was a pivot away from the “America First” vision or an isolated event in a move toward creating a more inward-facing foreign policy.

FROM RUSSIA WITH LOVE Ironically, it may be the administration’s most recent struggle that ultimately gets the fiscal agenda back on track. A consensus view has developed that the appointment of a special counsel to oversee the FBI’s investigation into ties between the Trump campaign and Russian officials could distract and further slow the policy agenda. Yet there is a real possibility that the administration There is a real possibility that the administration rallies through this adversity with a recommitment to key initiatives, reigniting and accelerating a fiscal policy push. rallies through this adversity with a recommitment

to key initiatives, reigniting and accelerating a fiscal policy push.

Historically, administrations under pressure have turned to policy to take pressure off negative headlines.

Congressional Republicans, too, are seeing an increased likelihood they will lose some power next year during the election cycle. In similar instances—with Republicans in 2006 and Democrats in 2010—the result was an accelerated pace of legislation.

To put this into context, we expect details on the administration’s proposed $1 trillion infrastructure plans shortly and movement on health care and tax reform, although that progress has been masked largely by recent headlines. Other policy initiatives, such as the continued push toward deregulation and the repatriation of foreign profits, are either immune from the political distractions or command more bipartisan support.

While political risks have certainly risen with the appointment of the special counsel to oversee the Russia investigation, these events could also spur the administration and Congress into action and force the feuding family into real policy action.

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Diversification is more important than ever. Having INVESTMENT IMPLICATIONS

exposure to stocks outside the U.S. that could do well if global markets continue to improve could provide a

Today’s short-term top and likely slowdown of good meaningful return opportunity. economic news—paired with high valuations—could mean slowing U.S. stock market momentum. This does not mean that the U.S. is headed toward recession or even that the economy has stopped growing. It does suggest we will experience a few challenges, at least in the short term. In similar historical circumstances, the economy continued to grow, albeit at a slower pace, after a short-term top in economic data.

Often, markets paused around this point in the business cycle before advancing again. The U.S. stock market seems ready for this type of pause, given its recent rally and in light of high valuations and slowing economic momentum.

Abroad, the story is a bit different. Economic momentum is on the right track with room to run.

Further, international stocks are less expensive than U.S. stocks, pointing to more and better opportunities abroad. A dovish Federal Reserve (for now), subdued inflation, a lower dollar, and low interest rates provide a nice backdrop for international stocks to outperform U.S. stocks, especially if the Trump fiscal agenda stalls.

Given existing policy and geopolitical risks and the U.S. economy’s placement in the later stages of the business cycle, now is not the time for bold portfolio risks. At the beginning of the year, the chance of extreme outcomes—both positive and negative—looked large. With the administration’s struggle to advance a coordinated fiscal agenda, the probability of the large positive outcome is diminished for now. Meanwhile, foreign policy uncertainty means that the possibility of a large downside still lurks. (But it, too, has diminished somewhat due to the absence of an all-out trade war.)

What this means is that diversification is more important than ever. Having exposure to stocks outside the U.S. that could do well if global markets continue to improve could provide a meaningful return opportunity. But being mindful of risks, having access to other asset classes in portfolios, such as core bonds and other diversifying strategic opportunities, is equally important given the uncertainties that remain.

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MARKETS ARE OFF TO A GOOD START The global expansion that started late last year continued into 2017. In the U.S., economic indicators such as consumer and business confidence are encouraging, and corporate earnings remain a bright spot. Outside the U.S., economies strengthened to start 2017, leading to the most synchronized upturn in years.

• Buoyed by a solid earnings season and the prospect of healthcare and tax reform and other pro-business policy changes, U.S. stocks rallied into record territory.

• International stocks have performed well, driven by improving European growth and stimulative policies in Europe and Japan. Emerging market stocks remain the year’s standout performer.

• Bonds are lagging stocks for the year, but have posted modest gains on declining interest rates.

• Despite a pullback in March, public real estate has netted solid gains so far this year on lower interest rates.

• Commodities have been hurt by slumping oil prices and are the only major asset class to post a negative return this year.

14.4%

• Strategic opportunities have eked out a modest gain in 2017 after a challenging 2016.

MARKET INDEX PERFORMANCE (as of 5.31.2017)

8.7%

3.8% 2.2%

2.4%

Strategic Opportunities

U.S. Bonds

-5.4%

Commodities

Real Estate

U.S. Stocks

International Stocks

LOOKING FORWARD Investors will be watching the U.S. Federal Reserve for signals about further interest rate hikes this year.

Meanwhile, after initial optimism about the Trump administration’s pro-growth stance, investors are reassessing their views. The challenges of repealing and replacing the Affordable Care Act mean it could be more difficult— or take longer—than expected to pass stimulus measures like tax reform and infrastructure spending.

Trump policy changes could result in higher growth and inflation, but we may experience volatility along the way. Trade policy questions have become less of a concern recently, but geopolitical hotspots, including North Korea and Syria, remain a risk to markets.

Asset class returns are represented by the following indexes: U.S. large-cap stocks (S&P 500 Index), international stocks (MSCI EAFE Index), U.S. bonds (Barclays U.S. Aggregate Bond Index), commodities (Bloomberg Commodity Index), real estate (Dow Jones U.S. Real Estate Index), and strategic opportunities (IQ Hedge Multi Strategy Tracker ETF).

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Season | 2017

WHEN HER RISE MEANS MORE BREAD by kathleen burns kingsbury

Do you remember the 1960s television show Leave It to Beaver?

The show featured the Cleavers, a traditional family, with dad going to work each day and mom staying home with the children.

Hijinks ensued each episode with the youngest son, Theodore “Beaver� Cleaver, always getting in a sticky situation.

As with most television shows, it reflected the times in which it was made. Simply put, men earned a living and women raised children.

Flash forward and today 44 percent of women are the primary breadwinners in their homes, and more men are staying home and raising children than ever before. No longer is it commonplace for couples to divide economic responsibilities by gender. Instead, you and your partner get to make it up as you go along.

If you are a female breadwinner or you are married to one, you know that, at times, having the freedom to decide who does what in the family can be complicated. Questions abound.

Who is going to make dinner? Who is going to pick up the kids? And how are we going to make the financial decisions? The answers require that you and your partner proactively discuss money matters on a regular basis. This can be a complex task, given that we live in a society still plagued by taboos against talking about money and filled with judgments about women who earn more than men.

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QUICK FACTS

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44%

Sarah knows firsthand that being the female breadwinner comes with social stigma. She always knew she would out-earn her husband Joe and that her marriage would look different from the traditional marriage her parents enjoyed. She likes working, and her income allows her husband to pursue his musical interests without the pressure of having to pay the bills. Her husband is proud and supportive of her success, but her father sees it differently. “While he doesn’t say it to me directly, I know he would prefer that I raise a family and not devote so much time to my career. But this arrangement works for us.”

of women are the primary breadwinners for their families

40%

of these women admit to feeling pressure to downplay their primary breadwinning

Whether you decided to be a female breadwinner or circumstances led you to assume this role, the key to success is proactively addressing the unique financial and emotional concerns that come with the reversal of traditional gender roles.

By engaging in these meaningful conversations, you can reduce the amount of financial conflict in your marriage and model healthy money-talk skills to the next generation.

status with friends and family

55%

of male business leaders have stay-at-home wives

How do you begin this conversation, and what should you discuss? Here are a few ideas to get the dialogue started.

12%

FINANCIAL ROLES AND RESPONSIBILITIES Historically, wives deferred all financial decisions to the husband. Today, most couples practice a “divide and conquer” strategy, in which each partner takes on some financial tasks. For example, Sarah sets up the family budget and pays all the monthly bills. Her husband, Joe, earns substantially less, and his income goes into their vacation savings account. Together, they decide on how to invest their money, and she puts some of her earnings into a special account to fund Joe’s creative pursuits.

of women business leaders have stay-at-home husbands

70%

of female breadwinners want their advisors to help them communicate with their partners about money

Prudential, “Financial Experience and Behaviors Among Women”, 2014.

O’Connor, Eileen, and Heather Ettinger, “Women and Wealth: What Do Female Breadwinners Want?”, 2015.

Fairchild, Caroline, “The rise of stay-at-home dads? For female execs, not so much”, 2014.

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It works for many couples, including Claudia and her husband, Ryan. They didn’t anticipate that she would be the primary breadwinner when they got married, but she attributes some of her success to him. “I simply began to excel in my various roles and responsibilities at work. Also, I’m more of a risk taker than my husband.

I do know that I wouldn’t be where I am in my career without him.”

Claudia and Ryan take a different approach. They maintain separate checking accounts and pay bills individually. Claudia pays the mortgage, and Ryan covers the cable and utility bills. As she shares, “We have never comingled our money, and this works very well. We rarely argue about money.”

When deciding how to assign financial roles and responsibilities, consider your collective skills and knowledge base, time available to devote to each task, and how each of you might feel should one of you take the lead when it comes to managing the family’s money. Determine what system works best for your relationship now, and keep the lines of communication open so you can adjust over time.

DIVISION OF LABOR No matter who earns the majority of the income, childcare and housework are two topics that often cause conflict in a marriage. This is especially true when the wife is the primary breadwinner, since many women try to do it all. But working full time, caring for children,

and cleaning the house—while climbing the corporate ladder or running a business— is an unrealistic plan.

Claudia’s children are grown, but when they were younger, her husband took on most of the caregiver responsibilities. Her job required frequent business travel, and Ryan, while reluctant at first, agreed to and grew into his role as the principal parent and housekeeper. Claudia says, “Once I realized that I was not superwoman and asked for help, our marriage became stronger. And our kids were happier.”

Sarah and Joe’s situation is different, as they don’t have children. But Sarah does know what it is like to attempt to work full time and care for a home. When the couple first bought a house, she was resistant to hiring help and relied on Joe to pick up the housecleaning responsibilities. Her mistake was that she didn’t communicate this plan to him. “I assumed he would jump in and vacuum the house and do the laundry. When he didn’t, we fought. After several conversations, we decided that Ryan would take care of the garden and household repairs, and we would hire a weekly cleaning service. It turns out this is a much better plan!”

Fight the urge to make assumptions, and instead discuss how the household chores will get done and, if applicable, how you will parent. When it comes to routine chores, consider hiring help. Talk about the logistics, but also discuss your feelings about letting go of duties that traditionally were considered masculine or feminine. This will help each of you understand the other‘s perWhether you decided to be a female breadwinner spective and allow you to devise a strategy that is appropriate for your family. or circumstances led you to assume this role,

DINING OUT

the key to success is proactively addressing the

unique financial and emotional concerns that While the number of female breadwinners is on the rise, societal come with the reversal of traditional gender roles. norms and expectations have been slow to change. When dining out, it is still customary for the waiter to put the restaurant check in front of the man at the table. The underlying belief is that men should pay for dinner. Some couples are comfortable with this ritual, while others argue about how to handle money in public.

In the past, Claudia and Ryan would fight almost every time they went out to eat with friends. While Claudia had no problem picking up and paying the check, doing so made Ryan uncomfortable. Eventually, they discussed their feelings about this societal standard and agreed that, when dining with others, Ryan would settle the tab with their joint credit card. At the end of the month, Claudia pays the credit card bill from her salary. “It is nice to no longer anticipate an argument after a nice night out on the town,” she explains.

It is important to find out how your partner feels when faced with a financial situation where the man is expected to pay. Don’t judge your partner’s emotional reaction; instead, try to put yourself in his shoes and understand his viewpoint. Remember, for centuries men have been expected to be the providers for their families, and your partner may prefer holding onto that role when conducting financial transactions in public.

With the increase in female breadwinners comes a unique opportunity for couples to create a new paradigm. No longer do you and your partner have to adhere to traditional financial gender roles if they don’t meet your needs. Instead, you can design a system that works for you, your partner, and your family. And the best way to begin this process is letting go of money silence and having a meaningful financial dialogue.

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PASSING ON

THE JOY OF GIVING by nanci hellmich

Teaching kids the joy of giving begins at home, and the training can start early.

That’s what many families have found, including Mike and Karyn Hobson of Columbia, Maryland. Their three sons, 5 to 11, have worked at a food pantry, sold homemade cookie mixes to raise money for an orphanage in China, made cards for the elderly, and helped their parents pick out bedding and household goods for a refugee family.

The boys also send letters and photos to three boys overseas whom the Hobsons support through donations to Compassion International, a child development ministry that pairs donors with people living in poverty. “We want our children to look at the blessings they have been given and think about how they can share them with others,” Karyn says.

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“We talk to them about putting themselves in other people’s shoes,” Mike says. Recently, when the couple asked the boys what they were going to do with their money when they grew up, each one said he would help people in need. Their middle son added that he’s also going to invest in the stock market.

Parents often want to instill the habit of giving in their children, but they don’t know the best way to go about it. Although there’s no how-to manual, there are strategies that work.

“We want our children to look at the blessings they have and think how they can share them with others.”

TALK THE TALK Role-modeling alone increases charitable values in children. But if parents also talk about what they are doing, it increases giving in kids by 20 percent, says Debra Mesch, director of the Women’s Philanthropy Institute at the Indiana University Lilly Family School of Philanthropy. She and colleagues analyzed data on 903 children and their moms.

Karyn Hobson

They found that about nine out of 10 of the kids, ages 8 to 19, gave to charity. Girls and boys were equally likely to give money to a cause, but girls were more likely to volunteer.

Children may not know that their families are donating time and money to charities unless their parents talk to them about the causes they support and the values those causes represent, Mesch says.

Parents need to offer concrete explanations for their donations of time or money. For example, if the family is taking food to a homeless shelter, parents should tell their children that these people might go hungry if they don’t receive food from others, she says.

If the family puts a donation in the plate when it’s passed around during a religious service, then parents should tell their children what that money is used for, she says. It’s important for kids to know that their families set aside funds for philanthropy, she says.

GIVE THE GIFT OF GENEROSITY Research shows that when parents teach the habit of giving, their children are more likely to grow up to be charitable, so the lessons in generosity can live on for generations, Mesch says. Grandparents, other relatives, friends, mentors, and teachers also set examples by role-modeling and talking about the charities they’re passionate about.

Early memories about generosity can make lasting impressions, says Eileen Heisman, chief executive officer of the National Philanthropic Trust, a charity that provides expertise to donors, foundations, and financial institutions. She speaks from experience.

As a child, she remembers going with her mother to deliver a large laundry basket full of donated food to a needy family for Thanksgiving. When Heisman’s mother gave the basket to the family, and said, “We thought this would help you enjoy the holiday more,” the other mother started to cry.

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Heisman was humbled by the stark difference between that family’s poor living conditions and those of her own middle-class family. “I’m 62. That happened when I was 7 or 8, and I can still remember it like it was yesterday,” she says.

LET CHILDREN CHOOSE CHARITIES Kids enjoy being involved in selecting charities to support, Heisman says. “The more you give children a choice, the more they are going to feel committed over the long run.”

One time, Heisman heard a Rockefeller heiress talk about how her parents set up three piggy banks for her and her brothers: one was for saving, one was for spending, and the other was for philanthropy.

They chose which charities to support. That lesson in generosity resonated with the heiress and her brothers for years to come, Heisman says.

He built a box that looked like a cow and put some of his allowance in it. He made a formal presentation at their church and collected money. His parents and another donor agreed to match whatever he received. When all was said and done, his efforts generated about $4,400 for Heifer. “It’s impressive what a kid with a big heart can do,” Sharp says.

Parents never know which charitable activities will resonate with their children. Mary Wilson of Raleigh, North Carolina, and her husband, Eric, a program manager in geographic information systems, have done a wide range of activities with their two girls and two boys, 7 to 14. They’ve visited the elderly at a nursing home, fed the homeless, and made blankets for babies at a hospital. They’ve also filled small bags with granola bars and gift cards and kept them in their car to give to homeless people.

Some families use this piggy bank idea as a springboard for talking about giving, Mesch says. She agrees that it’s important to let kids select the charities.

CELEBRATE BUDDING PHILANTHROPISTS Some families encourage their kids to support their own passions. Every year at Christmas, Jane Sharp and her husband, Charles Rardin, both medical doctors in Providence, Rhode Island, give their three boys $50 each to donate to a cause of their choice. The boys, 9 to 13, have donated the money to a food bank, the local Audubon Society, and a group that finds housing for the homeless.

The couple’s goal is to teach their sons how to share their time, talents, and treasures.

One Christmas season, their middle son, Miles, now 12, decided he wanted to raise money for Heifer International, a nonprofit organization working to end hunger and poverty with sustainable farming and entrepreneurship.

These experiences are making an impact. Their 14-year-old daughter now comes up with ways in which the family can help others.

“The more you give children a choice, the more they are going to feel committed over the long run.”

Eileen Heisman

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The family ate rice and beans, plus a fruit or vegetable, for dinner one night a week for several months so the children would realize “that not everyone has our family’s smorgasbord of choices,” Wilson says. The goal was to teach them that some people in the world and in the United States have very limited food choices, and those who are less fortunate often feel lucky to have enough to eat.

Many parents hope their children grow up giving of themselves personally, as well as financially. Karyn Hobson wants her boys to realize that some children live in poverty through no fault of their own. She wants them to know that some elderly people are very lonely and need friendship, compassion, and rides to the doctor. She wants their hearts to be pricked when they see a homeless person, so that they want to reach out and do something, whether it’s giving them food or money or performing a simple act of kindness: “I want them to look at the world, and think, ‘How can I make it better? How can I bless someone?’”

READER Q & A In this issue, we examine a diverse set of topics, including bitcoin and blockchain technologies, the benefits and considerations of filing for an income tax extension, and why you might want to consider umbrella liability insurance.

What is Bitcoin? Is it something I should be keeping an eye on?

Bitcoin is a digital currency—sometimes called a cryptocurrency—and payment system that was introduced in 2009. A handful of other digital currencies exist, but Bitcoin is the largest in terms of market value and usage. The Bitcoin payment system is peer-to-peer, and transactions take place between users around the globe without an intermediary, so there are no transaction fees. Unlike traditional currencies, Bitcoin is not backed by a government or central bank, but bitcoins can be exchanged for traditional currencies.

Initially, bitcoins were used for the online purchase of goods and services, but real-world merchants have started accepting them as well. Laszlo Hanyecz made history in May 2010 when he bought two large pizzas at a Papa John’s in Jacksonville, Florida, with bitcoins.

Today, a growing list of companies—online and brick-and-mortar, small and large—accept the currency.

Bitcoin is also the principal currency behind much of the illegal activity on the dark web.

Money launderers and purveyors of drugs, weapons, hacking for hire, ransomware, and child pornography seek payment in bitcoin since it is largely untraceable by law enforcement.

In November 2013 and again in May 2017, the price of bitcoins appreciated dramatically.

These price spikes have caught the attention of speculative investors, and several financial services firms have made ill-fated attempts to create exchange-traded funds linked to the price of the currency. At this point, the lack of regulatory backing, poor liquidity, fraud potential, and price volatility make it difficult to take seriously as an investment.

Bitcoin may never become a widely used currency (or investment), but blockchain, the technology underlying Bitcoin, could prove to be an important byproduct. Essentially, blockchain is a public ledger used to record financial transactions. It accepts entries from different parties, and the ledger can only be changed when there is agreement among the parties. This is what makes transactions secure and eliminates the need for a central authority.

Blockchain is currently used primarily to support Bitcoin, but it has uses in a wide variety of applications. For example, blockchain could be used as a global payment system for traditional currencies (as a replacement for the SWIFT network) and as a way to record financial transactions and assets such as stocks, bonds, insurance policies, land titles, frequent flyer miles, and contracts such as car and property rental agreements.

It is also being explored as a way to store data for fields as varied as identity management, electronic voting, and patient healthcare records.

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Use of blockchain is picking up all over the world. Sweden, Ghana, and Honduras are already using it to record land titles. And a 2016 survey conducted by the IBM Institute for Business Value found that 15 percent of banks intend to implement full-scale blockchain-based services in 2017, and that about 65 percent of banks surveyed expect to have blockchain in production within three years. Amazon and Microsoft both offer technology tool kits that can be used by both financial institutions and start-ups alike to build new offerings around blockchain.

Bottom line: While the daily price swings of bitcoin are exciting to monitor, blockchain is the bigger development to watch. Whether or not bitcoin ever becomes a viable alternative to the dollar, blockchain technology has the potential to radically change the way financial transactions are facilitated and personal data is securely stored in the future.

Every year I receive some of my tax information late, so I’m always scrambling to file my federal income taxes. What is the downside of filing for an extension?

Federal and state income tax returns are usually due on April 15 (or the first business day thereafter). However, if you need more time, the Internal Revenue Service grants you an automatic six-month extension, so long as you complete Form 4868 electronically or on paper.

Some people are uncomfortable with the thought of filing an extension, but they shouldn’t be. More than 13 million taxpayers did it in 2015 (and that number has been rising in recent years). And while opinions vary, there is no evidence that extending increases your audit risk. In fact, some tax preparers argue that taking the time to prepare an accurate return actually reduces audit risk.

Among the reasons why you might want to file an extension include: • Late or incomplete tax documentation. You can’t file an accurate return if you don’t have all the information you need—or if the information you have is inaccurate. Schedule K-1s often do not arrive in time for Tax Day, and it’s not unusual for 1099s to require correction.

• Life events. Death of a family member, illness, moving, marriage, divorce, and natural disasters create personal and family demands that can distract from timely tax preparation.

• Complications. Maybe you just got married and it’s your first time filing jointly. Perhaps you bought or sold a house or a business.

Or maybe you just have a busy and complicated life, and circumstances do not allow you to gather all your tax documents on a timely basis.

But remember: An extension allows you to delay filing, not paying. You may still have to write a check to the U.S. Treasury in April based upon a good estimate of what you owe. If the estimated payment you send is low, you will pay interest (and perhaps a latepayment penalty) on the difference.

For state income taxes, check your state tax laws or talk to your tax preparer. Some states accept IRS extensions, while others require you to file a separate state extension form.

The IRS does not need an explanation when you apply for an extension, so there is no reason to prepare your tax return in a rush if other issues keep you from focusing on it. More time and less stress means you will be able to thoroughly review your return and ensure that you’re taking advantage of all the tax benefits available to you. As always, please consult your tax preparer for more information on filing extensions and to help you determine if an extension makes sense for you.

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What is umbrella liability insurance? What does it cover?

Umbrella liability insurance is designed to protect your assets from an unforeseen event, such as an accident in which you are held responsible for damages or bodily injuries. If another party files a lawsuit against you, umbrella coverage will pay the damages you are legally responsible for up to the policy limit. Typically, an umbrella liability policy covers a much higher limit and goes above and beyond what is covered by your homeowner’s, renter’s, and auto insurance policies.

Umbrella liability insurance is extremely broad coverage. Most umbrella liability policies provide protection, up to the coverage limits specified in the policy, for claims, including: • Bodily injury or property damage caused by you or members of your household, or hazards on your property for which you are found legally liable; • Personal liability coverage for incidents that occur on or off your property; • Additional protection above your basic auto policy for auto-related liabilities; • Protection against non-business-related personal injury claims, such as slander, libel, wrongful eviction, and false arrest; and • Legal defense costs for a covered loss, including lawyers’ fees and associated court costs.

If something is not expressly excluded from coverage, it is covered. Exclusions vary by insurer and policy, but the following are some items usually excluded from coverage: • Intentional damage caused by you or a member of your family or household; • Damages arising out of business or professional pursuits; • Liability that you accept under the terms of a contract or agreement; • Liability related to the ownership, maintenance, and use of aircraft, nontraditional watercraft (e.g., jet skis and air boats), and most recreational vehicles; • Damage to property owned, used, or maintained by you; • Damage covered under a workers’ compensation policy; and • Liability arising as a result of war or insurrection.

Determining how much coverage you need is not an exact science. You should consider factors such as how often you have guests in your home, whether you operate a home-based business, how much you drive, whether you have teenage drivers in your home, and whether your lifestyle gives the impression that you have deep pockets.

Coverage limits vary, but a typical policy provides liability coverage worth $1 million to $10 million. Of course, as your coverage limit increases, the premium will also increase. Your insurance agent can help you determine how much coverage you need. Almost any insurer who writes auto and home insurance policies will also sell umbrella liability policies.

If you have a question for the VESTED team, we’d love to hear from you and see if we can help. Please send your questions to us at VESTEDmagazine@captrustadvisors.com.

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GIVING BACK

CAPCommunity Foundation board members sign copies of Dr. Seuss’s Oh, the Places You’ll Go! for the foundation’s Charity of Choice recipient Read and Feed.

2017 Charity of Choice The CAPCommunity Foundation (CCF) is excited to announce its 2017 Charity of Choice: Read and Feed.

Read and Feed’s mission is to give low-income elementary school children an appetite for reading by strengthening literacy skills and providing encouragement in a nurturing, neighborhood environment. Using mobile classrooms, Read and Feed provides meals to eliminate hunger, mentors to help children read, and gives books to build home libraries. Over the course of the year, the CCF will be hosting volunteer activities, raising much-needed funding, and orchestrating a community event this fall.

First Annual Fun Run and Walk During CAPTRUST’s annual Advisor Kickoff in January, the firm hosted its first Fun Run and Walk and donated 5 cents per step taken on the 2.2-mile course. Roughly 30 advisors participated, raising more than $7,000 for The CAPCommunity Foundation.

New CCF Website Please check out the CCF’s newly launched website. Learn more about CAPTRUST’s employee-run foundation, its grant programs, events, news, and ways you can volunteer or get involved at a local level. For more information, visit www.capcommunityfoundation.org.

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Summer | 2017

Annual Shareholders’ Meeting In March, CAPTRUST held its 13th annual Shareholders’ Retreat in downtown Raleigh, North Carolina. Chief Executive Officer Fielding Miller and Chief Operating Officer Ben Goldstein addressed the nearly 200 employee shareholders in attendance, looking at both 2016 performance and what lies ahead for the organization in 2017 (and beyond). This retreat embodies the “one unified practice” culture that makes CAPTRUST not only an industry leader, but also a great place to work.

CAPTRUST GROWTH We are pleased to announce that we have added a number of new advisors and office locations over the past several months.

Philadelphia—Lower Gwynedd CAPTRUST is excited to welcome The Johnston Group. The financial advisor team of Katherine Johnston; Donn Johnston, JD, CFP®; and Donn (DJ) Johnston, Jr., CFP® (pictured right) has been providing comprehensive financial planning and wealth management services to clients in the Philadelphia area since 1998.

Austin

Downtown Minneapolis In February, CAPTRUST expanded its Minneapolis, Minnesota, presence when Windsor Financial Group joined our organization. The 30-year old firm, which provides comprehensive wealth planning services for individuals and institutional clients, has deep experience in wealth management and values-based financial planning. We are excited to welcome twelve professionals to the firm, as well as seven financial advisors (pictured above), including: • Tiffany Walker, CFP®, ChFC • Thomas Saunders, CFP® • Tyron Estlick, CFP®, CFA® • David Koch, CFP®, CFA® • Terrence Fettig, CFA® • Joshua Hill, CFA® • Jamie Fritschel, CFP®, CPA

In April, CAPTRUST expanded its national footprint and opened a new office in Austin, Texas, with the addition of InTrust Fiduciary Group to the team. With nearly 20 years of experience providing independent fiduciary solutions to institutional client relationships, CAPTRUST’s expertise in that area is enhanced as a result of Financial Advisors Michael Maresh, AIFA®, CRPS®, CRPC®, and Linda Lim Yang, CRPC®, joining the firm.

Cathy Seeber Industry veteran and sought-after speaker Catherine Seeber, CFP®, CeFT®, joined the firm in March. Located in the Doylestown, Pennsylvania office, Cathy provides comprehensive financial planning and wealth management services to individual investors, private foundations, and corporate executives. She is an active advocate for financial planning and serves on the national board of the Financial Planning Association.

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RECOGNIZING COLLEAGUES New Shareholder Partners In January, CAPTRUST recognized three advisor colleagues who have made invaluable contributions to the organization, their clients, and their communities by naming them as the firm’s newest shareholder partners. Our new partners were honored at the annual Financial Advisor Awards dinner held during the 2017 Advisor Kickoff.

Dan DiGiacomo

Dan joined CAPTRUST in 2010 and is located in CAPTRUST’s Lake Mary, Florida office. He focuses on providing retirement plan advisory services to corporate fiduciaries and currently works with 20 institutional client relationships representing more than $8 billion of retirement plan assets under advisement. He is a graduate of The Ohio State University and has worked in the industry since 1999.

Jim Strodel

A native of Skaneateles, New York, Jim is based in CAPTRUST’s office in Charlotte, North Carolina. He joined the firm in 2011.

Jim provides retirement plan advisory services and specializes in addressing the fiduciary needs of higher education institutions.

Jim’s client base represents 22 client relationships and nearly $20 billion in retirement plan assets. He has worked in the industry since 1994.

Please join us in congratulating Dan, Chris, Jim, and Shira on their accomplishments.

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Chris Kulick

Chris joined the firm in 2010 and works in our office in Doylestown, Pennsylvania. He focuses on providing retirement plan advisory services to corporate fiduciaries and currently services 21 institutional client relationships and their $4 billion of retirement plan assets. Chris has worked in the industry since 2001 and has earned the CIMA designation through the Investment Management Consultants Association.

Katsir Receives Excellence Award Shira Katsir received the CAPTRUST Excellence Award during the firm’s April Synergy meeting at our Raleigh headquarters. According to her colleagues, “Shira always has a smile on her face” and “has a mind for building efficiencies and revolutionizing processes” that has revealed itself through her innovations, which have created capacity and improved efficiency for her peers in Portfolio Accounting and the Consulting Research Group.

Four Named to Young Guns List The National Association of Plan Advisors recently announced its 2017 Young Guns recognition for the industry’s top advisors under age 40 who have “demonstrated both a commitment to and an excellence in supporting workplace retirement plans and participants.”

CAPTRUST’s John Davenport, Shaun Eskamani, Tyler Gupton, and Christopher Kulick were named to this year’s list.

Top Financial Planners in the Triangle In late December, the Triangle Business Journal ranked CAPTRUST number seven among the largest financial planning firms in the RaleighDurham-Chapel Hill area. This annual list is locally researched; the winners are ranked by the number of industry-licensed professionals located in the Triangle area.

Dayton’s Top Money Management Firms CAPTRUST was ranked number 17 among the top money management firms in the Dayton, Ohio area by the Dayton Business Journal.

Inclusion and ranking for the annual list are determined by local assets under management.

PLANADVISER Top 100 List CAPTRUST’s focus on institutional retirement plan clients was recognized in PLANADVISER Magazine’s 2017 Top 100 Retirement Plan Advisers list. The firm was listed in the “Mega Teams with $12 Billion or More in Retirement Plan Assets Under Advisement” and “Mega Teams with More than 250 Retirement Plans Under Advisement” categories. CAPTRUST was one of 12 Mega Teams included in this year’s Top 100.

NEW HIRES We have also made a few significant hires in our investment research, marketing, and client service teams.

Kevin Barry As CAPTRUST’s chief investment officer, Kevin leads the firm’s Consulting Research Group, the team responsible for investment manager due diligence, asset allocation, and discretionary investment management for the firm’s wealth management and institutional retirement plan advisory businesses. He also serves as a member of the Executive Committee.

He has more than 20 years of experience in portfolio management, capital market strategy, and investment research. Kevin received a Bachelor of Science degree in finance from LaSalle University and a Master of Science in finance management from the University of London. He has earned the CFA®, PRM™, and CTFA designations.

Tara Catalino Tara joined CAPTRUST in April as the marketing manager responsible for supporting CAPTRUST’s recruiting and acquisition efforts aimed at attracting like-minded advisory firms. Tara joins the firm with 15 years of industry marketing experience from MassMutual, Transamerica, and, most recently, AIG, where she was the director for corporate brand, social media, and global communications. She received a Bachelor of Fine Arts degree from the School of Visual Arts in New York.

Marc Spelane Joining the firm with over 30 years of experience, Marc manages our wealth management client service team. Prior to CAPTRUST, Marc held similar roles with Wells Fargo and Newport Group, where his team was responsible for the overall client satisfaction for 1,200 clients. He received a Bachelor of Arts degree in economics from the University of Connecticut.

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We know that investors are looking for experienced and trusted advisors who can provide wealth management services focused on their unique circumstances and tailored to their goals.

In more than 25 years of acting as a fiduciary to some of the country’s biggest retirement plans, we have gained valuable insights that we can apply to your wealth planning and investment challenges.

www.captrustadvisors.com 919.870.6822 | toll free: 800.216.0645 4208 Six Forks Road, Suite 1700 | Raleigh, NC 27609

Terry Fettig, CFA® Senior Vice President, Financial Advisor Josh Hill, CFA® Financial Advisor David Koch, CFP®, CFA® Principal, Senior Vice President, Financial Advisor Downtown Minneapolis Office