Volume 51 | Summer/Fall 2022
In this issue

FOREWORD

Welcome to the latest edition of Spectrum, a magazine created to share the current topics that matter to our clients. We understand what’s on your mind, and we’re here to support and help guide every step taken on your financial journey.

The topics covered in this edition include safety tips for sharing information on social media, preparing your portfolio for a rising rate environment, making a case for commodities in a volatile market and facilitating a positive relationship with an overspending beneficiary.

First Republic is committed to being your financial partner as you strive to achieve your goals. I hope you find Spectrum insightful and inspiring.

Please don’t hesitate to reach out with any questions you may have.

It’s a privilege to serve you,

Bob Thornton
Executive Vice President and President,
First Republic Private Wealth Management

The Social Media Seesaw: How Family Guidelines Balance Sharing With Security

Social media use can put high net worth families at risk of cybercrime and fraud.
A social media policy helps your family balance online sharing with core practices for reducing risk.
The policy’s guidelines reflect your family values and provide operating principles for how family members engage with social media.

Stacy Allred

Head of Family Engagement and Governance,
First Republic Private Wealth Management

First Republic Cyber Advisory Services Team

Sharing information on social media provides a way to foster connections, maintain relationships and even build a personal brand. However, information sharing also comes with inherent risks. As individuals’ and families’ profiles and finances increase, so does their likelihood of becoming targets of cybercrime and facing reputational damage to their family businesses and brands.
Ceasing all social media activity is the most effective way to reduce financial and reputational risks that stem from oversharing online. But is this realistic in a digital world, considering that 72% of Americans,1 and over 80% of adults ages 18 to 49, use at least one form of social media? Among teens, social media is often their primary form of communication and entertainment. In fact, teens spend an average of one hour and 27 minutes on social media platforms daily.2
If social media is part of your family’s life — which it is for most — the question is: How can you balance social media use with smart, secure best practices that reduce the threat of cybercrime and reputational damage? One idea is to take a more intentional approach and collaboratively create family social media and digital device guidelines. These provide a framework for family members of all ages — establishing family values and operating principles around social media, expectations for how and what information is appropriate to share, protocols for securing devices and networks, and accountability and learning for when things go awry.

The risk of oversharing

For many active social media users, sharing a vacation location, pets’ names, or information about a new house or car is standard fare. Yet this is exactly the type of information bad actors leverage for malicious purposes, and research shows that wealthy individuals are highly targeted. One recent study showed that more than a quarter of ultra high net worth families have suffered a cyberattack.3 Some of the most common types include:

Each type of cyberattack can put your family’s finances at risk, whether it’s through gaining unauthorized access to accounts or money for fraudulent projects or people. As noted, the issue often begins with the criminals’ access to personal information through a breach, social media activity, video game chat or other websites.

Reputational risk is another consideration for families. Family members active on social media can inadvertently share information that potentially damages the family business or the family’s hard-earned reputation and can even lead to financial fallout.

Generational differences mean that family members often have differing views regarding the use of social media.

Policies provide documented core practices

It’s impossible to fully avoid social media gaffes, especially if you’re teaching adolescents how to manage their digital life. People will make mistakes. However, a family social media policy can reduce the potential for problems — and provide context for how individuals make decisions about their social media sharing and managing security protocols. Here’s how to create a policy that helps reduce your family’s social media risk.

For instance, one family agreed that family members or friends along for the journey would avoid sharing news online of big purchases, events attended or activities related to their vacations. Because they value privacy and quiet demonstration of wealth, they agreed to avoid posts that highlight material abundance. Rooting your policy in values can make it easier for people to determine whether shared information reflects those values — or goes against them.

Another family with teens, tapped into resources on Common Sense Media to explore together healthy screen time habits and how to best navigate the effects of social media on mental health.  Armed with new insights, they incorporated practices into their policy to take advantage of the benefits technology can offer, while putting in safeguards to minimize the risks.

Enable multifactor authentication (synonymous with two-factor authentication or two-step verification) wherever available. You may also establish rules for whom individuals can follow or interact with online, such as limiting social media interactions to only people family members know in real life. Or limit comments to only posts that originate from close friends or relatives. You may also restrict younger relatives from communicating with people they don’t know via video game chats or direct messages.

A living, breathing policy

Sharing personal information is easier now than ever before, and mistakes online can lead to real-life consequences. By creating a social media policy for your family and reviewing it annually, you can limit social media’s risk and ensure that online sharing doesn’t negatively affect your family’s finances, business or reputation.

This information is governed by our Terms and Conditions of Use.

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1 Pew Research Center, “Social Media Fact Sheet.” Pew Research Center Website, April 21, 2021.

2 Common Sense Media, “The Common Sense Census: Media Use by Tweens and Teens, 2021.” Common Sense Media website, March 9, 2021.

3 Campden Research, “Private & Confidential: The Cyber Security Report.” November 15, 2017.

How to Prepare Your Portfolio for Today’s Rising Rate Environment

With inflation at a 40-year high, the Federal Reserve raised interest rates in an effort to curb surging costs and supply chain shortages.
This tightening cycle is expected to continue through 2022 and into 2023.
Here’s what you need to know about why interest rates are rising, how they’re expected to affect the economy and what you can do to better position your portfolio during this time.

How to Prepare Your Portfolio for Today’s Rising Rate Environment

With inflation at a 40-year high, the Federal Reserve raised interest rates in an effort to curb surging costs and supply chain shortages.
This tightening cycle is expected to continue through 2022 and into 2023.
Here’s what you need to know about why interest rates arerising, how they’re expected to affect the economy and whatyou can do to better position your portfolio during this time.

For years, borrowers have enjoyed near-zero interest rates, but that’s about to change. In June, the Federal Reserve (the Fed) raised the federal interest rate by 75 basis points — the largest increase since 1994 — and communicated its intention to continue raising rates throughout 2022 and into 2023.

Interest rate increases, which are called “tightening cycles,” are intended to help cool the economy. Inflation has reached a 40-year high, driven in part by increases in housing and energy costs, as well as strong demand for goods and services paired with supply-chain shortages. As of May 2022, inflation had surged to 8.6% year over year, a more than fourfold increase over the Fed’s 2% long-term inflation target. Through a series of interest rate hikes, the Fed intends to reduce inflation until it falls in line with its objective.

First Republic
Investment Management
and Research Team

First Republic Private Wealth Management

Higher interest rates directly affect consumers, and the effects of rate hikes reverberate across the entire economy, impacting individuals and organizations alike. Here, we will discuss how a rising rate environment may impact fixed income and equity investments, as well as strategies investors may wish to consider to adjust their portfolios accordingly.

How a tightening cycle affects the economy

On a basic level, higher interest rates raise the cost of borrowing. For more than a decade, low interest rates have allowed individuals and organizations to borrow money relatively inexpensively, encouraging them to spend. However, as inflation continues to run hot, the Fed has raised — and may continue to raise — rates to rein in spending and moderate inflation.

Higher interest rates lead to higher mortgage costs, for example, which increases pressure on prospective homebuyers. A rising rate environment also puts a damper on discretionary spending, helping to slow down the demand that’s driving up prices. Finally, raising interest rates may also encourage saving, as consumers realize greater returns from the money in some of their savings accounts, retirement accounts and other deposit savings vehicles.

How rising rates impact fixed income investments

Higher interest rates also impact fixed income investments. For bonds, it’s all about the math: As interest rates go up, yields increase and the prices of existing bonds go down. This trend is particularly stark in bonds with a long time to maturity, and bonds with a longer duration decrease in price more than those with a shorter duration.

As a result, investors should consider the following:

  • 1.
    Shortening the duration in their fixed income portfolios, since shorter duration bonds tend to decrease in price less than longer-duration bonds.
  • 2.
    Bond laddering, or purchasing bonds of different durations within the same portfolio, to help manage risk.
  • 3.
    Investing in floating rate bonds, which have a variable interest rate to maximize yields as federal interest rates continue to increase.
  • 4.
    Exploring more active bond managers; this may help minimize risk by managing duration and security selection as the interest rates — and the economy — continue to change.

The more nuanced impact on equities

While the impact of rising rates on bonds is fairly straightforward, the impact on the stock market is more complex.

Historically, investors have enjoyed positive returns in 13 of the past 18 tightening cycles since 1954. In particular, equities tend to speed into the first rate increase and slow down thereafter. However, persistent tightening cycles can be deleterious for equities, particularly if they result in an economic recession.

Yet not all equities are affected equally. During tightening cycles, stocks with higher dividends and buybacks — such as utilities, energy and telecommunications — may offer near-term gains for investors. When growth is scarce, investors may pay a premium for stocks in segments of the market that consistently enjoy above-average earnings growth, such as information technology.

In terms of style, growth stocks — particularly small-cap growth — are historically among those hardest hit, and value has tended to outperform growth in both large- and small-cap stocks after rate hikes. Lastly, rising rates tend to strengthen the U.S. dollar (USD), which may weaken international equities, particularly those in developed international markets.

As inflation continues to run hot, the Fed has raised — and may continue to raise — rates to rein in spending and moderate inflation.

Overall, a mix of safety, yield and growth tends to perform best. Investors may consider additional actions:

  • 1.
    Targeting sectors that could potentially benefit from higher rates, such as energy and financials.
  • 2.
    Diversifying their income. Avoid too much concentration on high-dividend equities, as changes to dividend policy are common during times of economic uncertainty.
  • 3.
    Investing in currency. The USD is expected to continue to strengthen during the remainder of 2022.
  • 4.
    Seeking out real assets, including commodities or real estate. Commodities have historically been a good inflation hedge, and a curb in oil production paired with an increase in demand for several commodities makes this an attractive asset class.

The bottom line

While we have yet to fully realize how the Fed’s existing rate hikes — and further increases on the horizon — will impact the markets and the economy, we are in a period of higher volatility. By remaining vigilant and taking steps to adjust your investment strategy as needed, you can position your portfolio to weather the storm.

This article is for information purposes only and is not intended as an offer or solicitation, or as the basis for any contract to purchase or sell any security, or other instrument, or to enter into or arrange any type of transaction as a consequence of any information contained herein. This information is governed by our Terms and Conditions of Use.

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Despite Volatility, the Case for Commodities

Commodities remain a unique — though volatile — asset class for investors.
Investors stand to benefit from continued commodity shortages.
How investors integrate commodities into their portfolios depends on their risk tolerance and long-term goals.
Commodities have long been a unique space for investors. For starters, there are multiple ways to invest in this asset class — from buying gold bars to purchasing shares of an oil and gas company. Then there’s the volatility of commodities, which fluctuates in response to supply and demand imbalances, political events and natural disasters, among other things.
However, the complexity of commodities shouldn’t prevent investors from considering including them in their investment holdings. While near-term political upheaval and acute natural disasters may resolve, the demand for commodities such as oil, natural gas, grains and metals is only increasing.
Christopher J. Wolfe
Chief Investment Officer, First Republic Private Wealth Management
Commodities have long been a unique space for investors. For starters, there are multiple ways to invest in this asset class — from buying gold bars to purchasing shares of an oil and gas company. Then there’s the volatility of commodities, which fluctuates in response to supply and demand imbalances, political events and natural disasters, among other things.
However, the complexity of commodities shouldn’t prevent investors from considering including them in their investment holdings. While near-term political upheaval and acute natural disasters may resolve, the demand for commodities such as oil, natural gas, grains and metals is only increasing.
Over the long term, we anticipate supply shortages will continue across commodities. Global population growth, consumption trends and technology modernization are poised to drive demand beyond supply, keeping commodity prices high and potentially benefiting commodities investors.

A dwindling supply coupled with a resurging demand likely to keep prices high

The COVID-19 pandemic brought commodity prices into the headlines, as the crisis affected how consumers shopped and the ability of producers to maintain operations. For example, supplies of agricultural commodities dipped as farms struggled to sustain production with quarantined and sick workers. Meanwhile, oil prices declined in 2020 as lockdowns reduced consumer demand before roaring back to more than $100 per barrel by February 2022. While many assumed that supply and demand issues would normalize as pandemic restrictions waned, global events such as Russia’s invasion of Ukraine caused even more commodity shortages. Ukraine, for instance, provides 30% of the world’s wheat supply and is a primary producer of neon, which is required for making semiconductor chips.
What comes next for commodities? While we can’t forecast the next global crisis, significant climate event or geopolitical conflict, we can see that recent events have dramatically impacted the supply of multiple commodities. For example, Ukrainian farmers planted fewer crops this year, and their exports for 2022 will likely be much lower than in previous years. That means countries dependent on Ukrainian grain may face food shortages and higher food prices in the coming year as ramping up to meet increased demand won’t happen overnight.
In a different arena, the demand for electric vehicles (EV) is fast outpacing the supply of rare earth minerals such as lithium, cobalt and copper, all of which are used to make EV batteries. Developing new mining projects takes months, if not years, and the natural resources available may never be enough to meet consumer demand for EVs. Among other commodities, aluminum, food products and building materials have also been in tight supply this year.
Global population growth, consumption trends and technology modernization are poised to drive demand beyond supply, keeping commodity prices high and potentially benefiting commodities investors.

Potential commodity beneficiaries

When commodity shortages drive prices up, the impact reverberates across the economy. The possible beneficiaries over the long term include some expected and not-so-expected sectors and industries. Investors paying attention to commodities can try to leverage some of the demands to benefit their portfolio. For instance, oil and natural gas shortages stand to give energy producers a performance boost over the past few months, particularly as the summer months are upon us and pent-up travel demand will keep consumers driving. However, with inflation at over 8%, these gains are likely moderate over the medium to longer term.
Within agriculture, farmers will be looking for ways to improve efficiency and overcome worker shortages to meet the need for food products. As such, companies that make farm equipment that automates manual tasks could expect increases in business over the next few years. The same line of thinking applies for companies exploring ways to recycle lithium batteries. They could see robust demand for their product or services, given the shortage of lithium and the demand for electrification.
Rising prices may give some industries and businesses a boost. However, consumers will continue to take the heat, as most companies have passed the increased cost of commodity inputs for their products to their customers. While prices for all sorts of products are predicted to rise, most company margins will likely remain under pressure as companies can only pass on so many price increases before demand wanes. For commodities investors, the long-term outlook will likely center around the unmet and increasing demand of global consumers, who will continue to eat, drive and make purchases even as supplies shrink.

The innovation solution

High commodity prices can create opportunities for investors. But unaddressed, they can also wreak havoc on the global food supply, efforts to decarbonize the economy and even household budgets. So how will the commodities market find a better balance between the ever-growing demand and lagging supplies?
The answers rest in innovation and the ability to find faster, more cost-effective ways to produce the items the world currently needs — or create new products altogether. We touched on the lithium shortage due to the EV demand, but the good news is that advances in lithium recycling and battery science may lead to a battery solution that doesn’t require lithium to function at all. For example, researchers at the University of Texas at Austin have been developing a sodium sulfur battery as a replacement for lithium-ion batteries. Sodium and sulfur are far more widely available — and less expensive — than lithium and cobalt. We can see similar opportunities for innovation to reduce the impact of shortages across a range of commodities.
At the same time, supply chain managers are also becoming more innovative with how and where they source their inputs. We’re already witnessing companies creating onshore and nearshore options that diversify their supply chains and reduce the likelihood that single events have catastrophic impacts on their business and consumers. One major shoe brand, for instance, recently opened a new manufacturing facility in the United States, with executives noting that they wanted more control over their supply chain.
Commodities have always been more volatile than most asset classes, and the continuing supply and demand imbalances mean that prices will likely remain high. Exactly how investors incorporate commodities into their portfolios depends on their risk tolerance and long-term goals. However, the vital role they play in the economy means that integrating them to some degree remains prudent given the current environment.

This document is for information purposes only and is not intended as an offer or solicitation, or as the basis for any contract to purchase or sell any security, or other instrument, or to enter into or arrange any type of transaction as a consequence of any information contained herein. This information is governed by our Terms and Conditions of Use.

The strategies in this document will often have tax and legal consequences. It is important to note that First Republic does not provide tax or legal advice. This information is provided to you as is, is not legal advice, and we are not acting as your attorney or tax advisor. We make no claims, promises or guarantees about the accuracy, completeness, or adequacy of the information herein. Clients’ tax and legal affairs are their own responsibility. Clients should consult their own attorneys or tax advisors in order to understand the tax and legal consequences of any strategies mentioned herein.

Connect with First Republic.

Shifting Your Approach to an Overspending Beneficiary

Generative trusts lay a foundation for a learning relationship with beneficiaries.
Trustees can help foster change in overspending beneficiaries through communication, skill-building and expectation-setting.
Providing coaching and guardrails can help a beneficiary correct course on their spending habits.

Shifting Your Approach to an Overspending Beneficiary

Generative trusts lay a foundation for a learning relationship with beneficiaries.
Trustees can help foster change in overspending beneficiaries through communication, skill-building and expectation-setting.
Providing coaching and guardrails can help a beneficiary correct course on their spending habits.

Working with an overspending1 beneficiary is a highly sensitive — if highly common — issue to navigate for trustees and financial advisors like myself and my colleagues at First Republic Private Wealth Management.

If a member of the wealth-creator generation is seeing behaviors in a beneficiary that they want to change, both the beneficiary and a trustee are essential to making that happen. But it takes the right dynamic between trustee and beneficiary — and the right kind of trust — to facilitate positive, proactive change.

Trusts themselves are so much more than their structures and documents. By establishing a generative trust, grantors can lay the groundwork for a learning relationship between the trustee and the beneficiary.2 From there, generative trustees can help foster change in overspending beneficiaries by engaging in open communication, setting clear expectations and helping beneficiaries build the skills and competencies that can make them capable stewards of the trust assets.

Reframing the approach to an overspending beneficiary

Kelly Arrillaga
Managing Director, Family Engagement and Governance, First Republic Private Wealth Management

First Republic Investment Management uses frameworks and systems to guide our approach to working with clients — and we know that every system, in its own way, is perfectly designed to achieve its particular outcome.3 So, when it comes to addressing issues with an overspending beneficiary, we first seek to understand the system in which the beneficiary operates.

Consider the example of a younger-generation beneficiary who has challenges with spending and budgeting over a period of time. One approach might be to fill the financial gaps and smooth out the situation to protect the beneficiary from financial hardship. While this approach comes from a place of good intent, it can inherently detract from development.

As a “system,” this model works because the beneficiary’s financial shortfalls are covered. However, the system also leaves opportunities for skill- and confidence-building off the table. This can ultimately undermine a beneficiary’s ability to grow their self-esteem, change their financial habits or develop resilience to face certain hardships.

With a generative trust, there can be a different kind of system in place — one in which the trustee takes a consultative approach in helping the beneficiary chart a thoughtful course.

Pulling “levers” that help support desired outcomes

That consultative approach starts with communication. A generative trustee would first work with the family to understand which system is in place now, how they envision successful outcomes, what the responsibilities of the beneficiary are and what results the family wants to achieve with a generative trust.

With those insights, the generative trustee can partner with the family to design a clear path to achieving those results. Pulling a couple of proverbial levers allows the trustee to help keep the beneficiary on that path.

Setting clear expectations is the first of those levers. Using a structured framework can support establishing clarity and promoting a dialogue about:

  • Who is the beneficiary?4
  • What is the purpose of this financial capital?
  • What should the beneficiary expect?
  • What should the beneficiary not expect?
  • What is essential of the beneficiary?

That last piece — establishing what engagement the beneficiary is responsible for — is vital, as it creates the “skin in the game” that helps foster accountability.

Prepare for a Collaborative Dialogue.

Develop key points to bring clarity to each of the five questions.

Who is the unique beneficiary?
What is the purpose of our family wealth?
What should the beneficiary expect?
What should the beneficiary not expect?
What is essential of the beneficiary?

Establishing a consistent and stable distribution or financial assistance amount is another lever. That requires budgeting and, sometimes, education about how to plan one’s finances.

Often, the generative trustee engages in a kind of coaching to help the beneficiary to understand and determine what goes in the “must-have” versus “nice-to-have” buckets of their budgets. Once the trustee understands how the beneficiary tends to spend money, they can determine or adjust the distribution amount with a mind for what the beneficiary can manage; maybe a distribution weekly is a better fit than monthly, or vice versa.

The generative trustee’s “coaching” may continue with other efforts designed to help the trustee build competencies. Sometimes, it may require saying “no” in a way that reinforces the guidelines or expectations of the trust. If distribution funds intended for a specific expense are misspent, for example, a trustee may have to say “no” to a second distribution request for the same expense — compelling the beneficiary to solve the problem and learn from the experience.

Moving through the stages of change

Of course, a trustee can only make a difference in a beneficiary’s trajectory if there is a certain amount of readiness to change on the beneficiary’s part. Leveraging the ideas of Dr. James Grubman and others,5 my team applies the Transtheoretical Model (TTM) — also called the Stages of Change Model — to our thinking when assessing the readiness of a beneficiary. TTM includes the following stages:

  • 1.
    Pre-contemplation: Not interested in changing or not aware that a change needs to be made
  • 2.
    Contemplation: Beginning to think about changing but not committed
  • 3.
    Preparation: Ready to change and considering what to do next
  • 4.
    Action: Actively modifying behaviors and learning new skills
  • 5.
    Maintenance: Consistently using new behaviors and skills

A generative trustee can help shepherd the beneficiary through these stages, recognizing that there may be stumbling blocks along the way. The generative trustee can obviously be very impactful in the Preparation phase; that’s their moment to say: “Here’s the plan. Here’s what you need to do in order to implement change. And here’s how I can support your journey by coaching you through it.” But during the Action phase, beneficiaries’ resistance to change might show through; as with all intended behavioral changes, the beneficiary’s new skills and habits may not take root on the first try.6

Over time, however, as their generative trustees provide support and insights, beneficiaries can reach the Maintenance phase — in the process of developing resiliency and becoming more comfortable with new behaviors. And if new overspending behaviors arise during the Maintenance phase, the trustee can cycle back to the beginning of the TTM to adapt them.

But while overspending can often be harnessed, some situations are more sensitive than others. Severe overspending shares some common characteristics with addiction; it can be a response to trauma or reflective of deeper fears. Remaining mindful of the emotional components of overspending can help the generative trustee guide the beneficiary in addressing issues and include mental health professionals to be part of the solution when needed.

Change is ongoing, iterative

Ultimately, working with generative trustees to rectify issues with overspending beneficiaries is not about “solving” beneficiaries’ overspending “problems.” It’s about creating environments in which beneficiaries can learn lessons and apply them, developing new behaviors — and becoming skillful stewards of the trust assets — in the process.

The strategies in this document will often have tax and legal consequences. It is important to note that First Republic does not provide tax or legal advice. This information is provided to you as is, is not legal advice, and we are not acting as your attorney or tax advisor. We make no claims, promises or guarantees about the accuracy, completeness, or adequacy of the information herein. Clients’ tax and legal affairs are their own responsibility. Clients should consult their own attorneys or tax advisors in order to understand the tax and legal consequences of any strategies mentioned herein.

Connect with First Republic.

1 We define overspending as spending with negative financial consequences, and it may include a pattern of emotional spending.

2 The ideas of a generative trust were developed by Hartley Goldstone and John A. Warnick. For example, see Hartley Goldstone, “Family Trusts That Preserve Family and Preserve Trust,” The International Family Office Journal  (Globe Law and Business, December 2017).

3 From a quote attributed to Dr. Paul Batalden: “Every system is perfectly designed to get the result it gets.”

4 Before the how questions come the who questions, and the most important is, “Who is the recipient?” See James E. Hughes, Jr., Susan E. Massenzio and Keith Whitaker, The Cycle of the Gift: Family Wealth and Wisdom (Bloomberg Press, 2012).

5 James Grubman, Ph.D.; Kathleen Bollerud, Ed.D.; and Cheryl R. Holland, CFP®, “Motivating and Helping the Overspending Client: A Stages-of-Change Model,” Journal of Financial Planning, March 2011, p. 60–67. This article builds on the model of how people change, which was developed by James Prochaska, Carlo DiClemente and their colleagues in the late 1970s.

6 Kyra Bobinet, M.D., MPH, notes that relapse, or a reemergence of the old default behavior, is a normal, natural and sometimes necessary part of the behavior change process and advises building in dealing with the high probability of relapse in your design. Kyra Bobinet, M.D., MPH, Well-Designed Life: 10 Lessons in Brain Science & Design Thinking for a Mindful, Healthy & Purposeful Life (engagedIN Press, 2015).

This document is for information purposes only and is not intended as an offer or solicitation, or as the basis for any contract to purchase or sell any security or other instrument, or to enter into any type of transaction as a consequence of any information contained herein. Although information in this document has been obtained from sources believed to be reliable, we do not guarantee its accuracy, completeness or fairness, and it should not be relied upon as such. The document may not be reproduced or circulated without our written authority.
Strategies mentioned in these articles will often have tax and legal consequences. First Republic Bank and its affiliates do not provide tax or legal advice. This information is provided to you as is, does not constitute legal advice, is governed by our Terms and Conditions of Use, and we are not acting as your attorney. Clients’ tax and legal affairs are their own responsibility. Clients should consult their own attorneys or other tax advisors in order to understand the tax and legal consequences of any strategies mentioned in this document.
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