Wonders in West Texas

Market Overview

October delivered a reminder that markets don't always follow the script. While the S&P 500 gained 2.1% for the month, the real story was beneath the surface — a rotation from growth to value, and a renewed interest in real assets.

Energy stocks led the charge, driven by supply constraints and seasonal demand patterns. The energy sector gained 6.3% in October, its best month since spring.

The West Texas Story

We recently had the opportunity to visit several of our real estate and energy partners' operations in West Texas. What we saw reinforced our conviction in tangible, income-producing assets.

The Permian Basin continues to be the engine of American energy independence. For our clients invested in energy infrastructure and Opportunity Zone developments in the region, the on-the-ground reality matches the investment thesis.

Portfolio Impact

Real assets — including energy infrastructure, private real estate, and Opportunity Zone investments — served as ballast this month. While tech-heavy portfolios gave back some gains, diversified portfolios with real asset exposure held steady.

Looking Ahead

As we approach year-end, our focus shifts to tax planning. Roth conversions, tax-loss harvesting, and charitable giving strategies are front and center. If you haven't scheduled your year-end planning review, now is the time.

Bottom Line

October was a good month to own real things. We continue to believe that a portfolio built for this chapter of life needs more than stocks and bonds — it needs assets that produce income, hedge inflation, and provide optionality.