MWM_Shulman_8_28_23

US UNEMPLOYMENT RATE IS STILL NEAR A 50 YEAR LOW – SOFT LANDING STILL MORE LIKELY THAN A RECESSION Despite Federal Reserve tightening, the US unemployment rate is still extremely low @ 3.5% • Unemployment rates are among lowest US has experienced in 50+ years • Technology companies continue to announce 100,000+ layoffs o Most layoffs are coming at the expense of H1B foreign workers o H1B foreign worker layoffs do not appear in unemployment statistics o US has 80m baby boomers which have started to become eligible for retirement since 2012 o 4.3m are becoming eligible per year (5.8m workers are unemployed as a basis of comparison — 3.5%) o As more baby boomers retire, the unemployment rates will drop even lower o The Federal Reserve is worried about wage inflation — this could become a problem in the future as companies rehire tech o There may be pent up demand for retirees to leave work force o If we had more retirees this could drop appreciably more o Unemployment will likely stay low due to seniors leaving workforce (eventually)

• ETF Fund Flows in US Market

During the past week, US market is showing stronger interest in US Equities.

Category

1Y Fund Flow

YTD Fund Flow

1W Fund Flow

Non-US Equity ETF

109.60B

71.55B

-0.43B

US Equity ETF

384.95B

202.99B

1.62B

All Equity ETF

494.55B

274.54B

1.19 B

*Fund flows through 08/25/2023

• Selected Entrepreneurial Companies w/Strong Performance Since May 03 (FOMC Announcement)

Ticker

Name

Country

Sector

Market Cap

Return(%)

$7,074.15 $1,558.71 $2,917.37 $2,541.80 $2,191.82 $13,696.19

454.74 196.37 166.73 147.34 147.07 140.12

CVNA US ACHR US IONQ US UPST US OPEN US

Carvana Co

UNITED STATES UNITED STATES UNITED STATES UNITED STATES UNITED STATES UNITED STATES

Consumer Discretionary

Archer Aviation Inc

Industrials

IonQ Inc

Information Technology

Upstart Holdings Inc

Financials Real Estate

Opendoor Technologies Inc

APP US

AppLovin Corp

Information Technology

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