Frank Talk 2nd Quarter Newsletter 2026

Happy Summer, Clients and Friends!

I hope this finds you and your family well and ready for a fun-filled summer!

It's hard to believe we've already reached the midpoint of the year. I've always viewed this halfway mark as more than just a calendar milestone—it's also a natural inflection point. It signals not only 50% progress, but also the shift from early momentum to the "middle stretch," where fatigue, competing priorities, or complacency can quietly set in. More importantly, this moment offers a valuable opportunity to pause, reassess, and realign your goals with the outcomes you envision for yourself, your family, or your business.

Whether your goals for the year include strengthening emergency savings, increasing retirement plan contributions, refining your charitable giving strategy, or finally taking the first steps toward a business exit plan, there is still plenty of time to make meaningful progress. What matters most is not perfection, but consistent, intentional action that supports your long term financial wellbeing.

That's something that ROL Wealth Advisor and this quarter's featured team member, Chelsea Hussey, CLU®, ChFC®, CFP®, understands well. For Chelsea, helping clients make informed financial decisions aligned with their goals and values is the most rewarding aspect of her job. She loves educating her clients on the "why" behind their strategies, including how those strategies support the things that bring true meaning and purpose to their lives.

You can learn more about Chelsea in this issue's Get to Know Your Team section or by tuning in to a recent Frank Wealth Insights podcast where Chelsea and ROL Wealth Advisor Danielle LeChard, CFP® team up to share tips on Planning for Aging Parents. You can also download our Plan of Care Guide which was developed to assist families in navigating the complexities of aging.

Chelsea also participated in our recent Market Noise Live: Market Update & Portfolio Positioning webinar, which took place via Zoom on April 23rd. A link to the recorded webinar is provided under Recent Events.

We're also pleased to welcome Frank Maroun, MBA to our 401(k) Prosperity team. Frank provides day-to-day support for corporate retirement plan operations and coordination, helping our plan sponsors and their participants pursue important retirement planning goals. You can read more about Frank under Team Updates.

This issue of Frank Talk is also filled with other news and resources you may find helpful, including details about our 18th Annual Cleveland Economic Summit, scheduled for September 30th, as well as our latest thoughts on the financial markets and economy in our Market Commentary.

As always, we encourage you to reach out to your dedicated team whenever questions arise or when circumstances in your life change. If you need additional support––or if someone you know could benefit from our guidance––remember, we're only a phone call away at 440.740.0130.

What's In It for You?

At-a-glance guide to your 2nd Quarter 2026 Frank Talk newsletter:

• News & Events
  • Awards & Recognition
    • Frank Fantozzi Is Named a Forbes Best-In-State Wealth Advisor for the 9th Consecutive Year
  • Team Updates
    • 401(k) Prosperity Welcomes Frank Maroun
    • Get to Know Your Team: Chelsea Hussey, CLU®, ChFC®, CFP®
  • Upcoming Events
    • 18th Annual Cleveland Economic Summit – September 30
    • Market Noise Live Webinar – October 22
  • Recent Events
    • Smart Business Dealmakers Conference/Cleveland – May 13
    • Market Noise Live: Market Update & Portfolio Positioning – April 23
• Resources
  • Check Out Our Latest Planning Tools & Resources:
    • Legacy Planning Checklist
    • Plan of Care Guide
    • Safeguarding Your Online Presence and Digital Footprint
    • 2026 Federal Tax Rates At-a-Glance
    • 2025–2026 Tax Planning Guide
  • Complimentary, No-Obligation Second Opinion Service
  • Visit our Blog and Podcast and Join Us on Social Media
• Market & Economic Update

News & Events

Awards & Recognition

Frank Fantozzi Is Named a Forbes Best-In-State Wealth Advisor for the 9th Consecutive Year

Frank Fantozzi, CPA, MST, PFS, CDFA®, AIF®, CEPA®, President and Founder of Return on Life® Wealth Partners was ranked No. 18 out of 110 wealth advisors for the State of Ohio – Cleveland area on the 2026 Forbes¦SHOOK Best-In-State Wealth Advisors list. This marks the 9th consecutive year he has been named to the prestigious list. The annual ranking spotlights the nation's top performing advisors evaluated based on criteria that includes industry experience, client retention, and assets under management.

The Forbes Best-In-State Wealth Advisor ranking, developed by SHOOK Research, is based on in-person and telephone due diligence meetings and a ranking algorithm that includes client retention, industry experience, review of compliance records, firm nominations; and quantitative criteria, including assets under management and revenue generated for their firms. Portfolio performance is not a criterion due to varying client objectives and lack of audited data. Neither Forbes nor SHOOK Research receives a fee in exchange for rankings.

Team Updates

Frank Maroun Joins 401(k) Prosperity

Join us in welcoming Frank Maroun, MBA to our 401(k) Prosperity® team. Frank provides day-to-day support for corporate retirement plan operations and coordination, helping our plan sponsors and their participants pursue important retirement planning goals. 401(k) Prosperity is the corporate retirement planning and institutional investment management division of Planned Financial Services, an SEC-Registered Investment Advisor (RIA).

Prior to joining 401(k) Prosperity, Frank was a Senior Financial Planning Specialist at MAI Capital Management in Cleveland, Ohio, where he streamlined advisor workflows and spearheaded client outreach and engagement initiatives across the firm's planning base. As a subject-matter expert in financial plan design, client engagement, and workflow optimization, he trained and mentored advisors on the use of advanced planning software and the firm's financial planning process, helping to enhance plan quality and operational consistency across teams.

Frank holds a Bachelor of Science in Nutrition from Bowling Green State University and a Master of Business Administration (MBA) from Kent State University.

Get to Know Your Team: Chelsea Hussey, CLU®, ChFC®, CFP®

Chelsea is a Chartered Life Underwriter®, Chartered Financial Consultant®, and Certified Financial Planner™ professional. She joined Return on Life Wealth Partners as a wealth advisor in 2022, to help business owners and high-net-worth families pursue their objectives in areas such as wealth and retirement income planning, business succession, executive compensation, employee benefits, estate conservation, and charitable giving.

As lead advisor for the Return on Life Wealth Partners team, Chelsea collaborates with the firm's advisors and client liaisons to ensure each client benefits from the team's collective experience across multiple financial disciplines in pursuit of the Return on Life® they desire.

Before joining Return on Life Wealth Partners, she was the Director of Planning at Lakefront Capital in Cleveland, Ohio where she developed financial plans for families and businesses. Prior to that she was a financial advisor with Northwestern Mutual in Canton, Ohio, where she began her financial services career as a College Unit Director, responsible for recruiting, training, and overseeing the professional development of college financial representatives through the company's nationally recognized internship program.

Chelsea finds empowering people to make informed decisions about their finances aligned with their goals and values is the most rewarding aspect of her job. "When people understand their strategy and feel taken care of, they want their friends, family, and colleagues to enjoy a similar experience," she says.

Since joining Return on Life Wealth Partners, Chelsea has been recognized by multiple professional organizations:

• 2025 Best-in-State Top Women Wealth Advisors: Chelsea was ranked 58 out of 74 women wealth advisors in Ohio for 2025 on the Forbes | SHOOK Best-in-State Top Women Wealth Advisors list. The annual list is compiled by Forbes with insights from SHOOK Research. Advisors are selected based on quantitative and qualitative data, and are assessed on a variety of criteria, including in-person interviews, years of experience, compliance records, and assets under management.
  

  The Forbes Best-In-State Top Women Wealth Advisors ranking, developed by SHOOK Research, is based on in-person, virtual and telephone due diligence meetings and a ranking algorithm that includes client impact, industry experience, review of compliance records, firm nominations; and quantitative criteria, including assets under management and revenue generated for their firms. All advisors have a minimum of seven years of experience. Portfolio performance is not a criterion due to varying client objectives and lack of audited data. Neither Forbes nor SHOOK Research receives a fee in exchange for rankings.

• 2025 Best-in-State Top Next-Gen Wealth Advisors: Chelsea was named to the annual Forbes | SHOOK Best-in-State Top Next-Gen Wealth Advisors* list and ranked 74 in Ohio.  The ranking, developed by Forbes in partnership with SHOOK Research, is based on an algorithm of both qualitative criteria and quantitative data.  Advisors considered must have at least four years of experience and are evaluated on factors such as revenue trends, assets under management, compliance records, industry experience, and best practices.  To view the full list, visit https://www.forbes.com/lists/best-in-state-next-gen-advisors.
  

  The Forbes ranking of Top Next-Generation Wealth Advisors, developed by SHOOK Research, is based on an algorithm of qualitative and quantitative data, rating thousands of wealth advisors born in or after 1980. Advisors are interviewed by telephone and in person to evaluate service models, investing process, experience levels, and integrity. Additional factors considered include compliance record, client retention, revenues produced for their firms and assets managed. Portfolio performance is not a criterion due to varying client objectives and lack of audited data. Neither Forbes nor SHOOK receives a fee in exchange for rankings. To view the full Forbes | SHOOK annual list, visit .

• 2023 LPL Rising Star: Chelsea was named an LPL Rising Star in August 2023. LPL Financial's Rising Star program recognizes emerging women financial advisors and program managers within LPL and the industry. In 2023, LPL awarded 20 scholarships to promising women advisors along with the opportunity to attend the LPL Achieve Women’s Leadership Forum.

Upcoming Events

Save the Date! 18th Annual Cleveland Economic Summit – September 30

Mark your calendars now for the 18th Annual Cleveland Economic Summit, which will take place on Wednesday, September 30th, from 4:00 pm – 6:30 pm at the Cleveland Metroparks Zoo – Stillwater Place . Stillwater Place is the Zoo's elegant, state-of-the-art reception event center featuring a spectacular view of the scenic Waterfowl Lake. Watch for more details on the event, including our speaker line-up in the weeks to come!

Mark Your Calendars for Our Next Market Noise Live Webinar – October 22

Plan to join us for our next Market Noise Live webinar via Zoom on Thursday, October 22nd from 11:00 am – 12:00 pm. The webinar will feature a live Q&A session and will examine key market and economic factors our advisors are monitoring, including potential opportunities and practical portfolio considerations. Watch for more details and a registration link in the months ahead.

Recent Events

Smart Business Dealmakers Conference/Cleveland

The Smart Business Dealmakers Conference took place on May 13th at Hotel Cleveland. Return on Life Wealth Partners was an event sponsor, and Frank was a member of the host committee for this year's middle-market dealmakers conference. ROL wealth advisors Chelsea Hussey and Danielle LeChard were also in attendance and participated in presenting awards at the event. The conference connected hundreds of Northeast Ohio business leaders with lively and informative sessions ranging from raising capital to buying and selling companies and planning for liquidity events.

Access the Recording: Market Noise Live: Market Update & Portfolio Positioning

We were pleased to welcome the many clients and friends who joined wealth advisors Cynthia Yang, CFA®, CAIA®, CIPM, and Chelsea Hussey, CLU®, ChFC®, CFP® via Zoom on April 23rd for a live webinar examining:

• The current economic and market backdrop, including inflation, labor, interest rates, and policy developments
• Key factors our advisors are monitoring over the next 6–12 months
• Broader market themes and potential opportunities developing beneath the surface
• Practical portfolio considerations for today's environment

If you missed the live webinar or would just like to revisit the information presented, use the links below to access the recording at your convenience.

Click here to access the webinar recording Click to access the presentation slides

Resources

Planning Tools & Resources

Legacy Planning Checklist

An enduring legacy is much more than an estate plan — it's the story your wealth tells about your life, its impact on other people, and the values you would like to see carried forward. Our new Legacy Planning Checklist may help you clarify what you want to be remembered for by the people who matter most to you.

Access your checklist now!

Download: Legacy Planning Checklist

Have You Completed Your Plan of Care Guide Yet?

We recently introduced our new Plan of Care Guide to assist families in navigating the complexities of aging. The interactive guide encourages proactive discussions and planning around four key areas:

• Living Arrangements – Explore options such as aging in place, assisted living, or skilled care facilities.
• Care Providers – Identify potential support from family members, in-home aides, or medical professionals.
• Funding Care – Review possible payment sources, including insurance, personal savings, or family contributions.
• Quality of Life – Address preferences related to independence, dignity, and social engagement.

Access your guide now! Download: Plan of Care Guide

To learn more, check out our Frank Wealth Insights podcast where wealth advisors Chelsea Hussey, CLU®, ChFC®, CFP® and Danielle LeChard, CFP® share tips on Planning for Aging Parents.

Tips for Safeguarding Your Online Presence and Digital Footprint

Emerging cybersecurity threats, including AI-driven phishing, social engineering, and ransomware are on the rise. For tips on putting important safeguards in place for yourself and your business, download our guide:

DETER / DETECT / DEFEND

Best Practices for Safeguarding Your Online Presence and Digital Footprint

Access Your Complimentary 2026 Tax Planning Guides

Our complimentary tax guides can help you remain informed about tax strategies and deadlines throughout the year. These valuable tools make it easy to find information about 2026 retirement plan contribution and gifting limits, charitable giving strategies, RMD and tax-loss harvesting deadlines, and more.

These materials, which are available to view or download now, are provided for general informational purposes and do not constitute individualized investment or tax advice.

• 2026 Federal Tax Rates At-a-Glance Guide – Quickly find the information you need from federal income tax brackets and rates to capital gains and qualified dividend rates, contribution limits for retirement plans, annual gift and estate tax exclusion amounts, and more. View or download your complimentary 2026 Federal Tax Rates Guide now!
• The Return on Life® Wealth Partners 2025–2026 Tax Planning Guide is a more comprehensive guide to key tax provisions and deadlines, including helpful information on key changes under the One Big Beautiful Bill Act (OBBBA). View or download your 2025–2026 Tax Planning Guide.

Second Opinion Service

Share the Love with a No-Obligation Second Opinion

If you have friends or family members who aren’t “feeling the love” where their current financial advisor relationships are concerned, you may be in a position to help. We’re happy to provide the people you care about with an opportunity to benefit from the same level of service and attention you have come to expect as a valued client.

Our complimentary, no-obligation Second Opinion Service makes it easy to refer friends, family members, colleagues, or business associates for a review.

In many cases, a second opinion will simply provide confirmation, and the confidence that those you care about are on track to fulfill their values and achieve their goals with their current financial provider or strategy. However, if needed, we are happy to suggest ways in which we can help, including recommending another provider if we are not a good fit for their needs. Visit us online to learn more about this service, including what to expect , or contact us to refer a friend or schedule a consultation.

Join the Discussion

Don't Miss Out on the Topics that Are Important to You: Visit Our Getting Frank Blog and Frank Wealth Insights Podcast

Be sure to check out our latest Getting Frank Blog and Frank Wealth Insights podcast. You can access our podcasts via video as well as audio. Listen where you get your podcasts or watch us on YouTube, and connect with us on LinkedIn, Facebook, and X. If there's a topic you'd like us to address, email your request to ROL@ReturnOnLifeWealth.com.

Market & Economic Update*

Source: https://www.lpl.com/research/weekly-market-commentary/add-context-and-stock-market-valuations-are-fair.html

When Context is Added, Stock Market Valuations are Fair

While we agree with the consensus view that stock valuations are elevated by traditional measures, valuations should be considered in the context of the economic regime and earnings environment.

• Factoring in economic outlooks: After factoring in outlooks for economic growth, inflation, interest rates, and earnings, we are comfortable with the current 21 price-to-earnings ratio (P/E) for the S&P 500 Index. To justify a higher P/E and further moves higher from here, assumptions must be made about the path that these key drivers will take in coming months.
• Optimism is currently priced in:We expect more of these factors to break positively than negatively, but it seems clear that a lot of optimism is currently being priced in. When the next bear market might arrive and where valuations will be at that time is difficult, if not impossible, to predict, but our best guess is that this bull market extends through 2027 (we define a bear market as a 20% decline on the S&P 500 based on closing prices).
• Future gains depend on growth: Gains beyond that will depend on whether the economy continues to grow, the path of interest rates and inflation, and the productivity gains (and potentially unemployment) AI brings.

Starting With the Basics: Price-to-Earnings Ratio

Before digging into what we think this stock market is worth, it’s important to recognize that valuations have not historically been good timing tools. There is essentially no correlation between valuations and where stocks will go over the subsequent year. However, P/Es have value as a basic valuation tool, especially as it pertains to predicting long-term returns. But it requires context. It’s easy to say that the S&P 500 at a forward P/E of over 21 (based on the consensus S&P 500 earnings per share estimate for the next 12 months) is high based on historical averages. But this approach importantly lacks context around where we are in the economic cycle, the levels and outlooks for inflation, interest rates, earnings, and corporate America’s capital intensity.

Perhaps the easiest one of these drivers to tackle is rates. A higher 10-year Treasury yield has historically correlated with lower P/Es. This intuitively reflects the time value of money – future earnings (or cash flows) are worth less today at higher interest rates than they would be at lower rates, and the required return threshold to justify equity risk is higher.

The Equity Risk Premium Has Effectively Been Erased

A way to capture yields and P/Es together is with the equity risk premium (ERP). This calculation compares the earnings yield from stocks (earnings / price rather than price / earnings) to the 10-year Treasury yield. The ERP based on consensus earnings estimates for the next 12 months is barely positive at just 0.2%, compared to the long-term average of 2.5%. That means that investors in the S&P 500 are not expected to earn more per dollar than they would from Treasuries. Even though stock returns over the long-term have far outpaced bond returns, at current prices, theoretically those returns are expected to be closer. Keep in mind, valuations are not predictive over shorter time periods. Additionally, inputs into these calculations change over time. Our expectation is that currently elevated yields will be temporary. If yields come down as oil prices normalize, equities will offer more compensation for the risk. And if recent history is a guide, earnings will be higher as well, sending earnings yields higher. Bottom line, we expect a more positive earnings yield after the Iran conflict is resolved and the Strait of Hormuz opens to support further, albeit potentially modest, additional stock market gains.

Supportive Economic Cycle

The next key question we ask is whether economic conditions are supportive. We believe they are, particularly in terms of growth. Bolstered by fiscal stimulus from the One Big Beautiful Bill Act (OBBBA) and massive AI investment, we expect the U.S. economy to grow by 2% in 2026 (measured by real gross domestic product (GDP)), even if oil prices stay elevated for several more weeks.

Geopolitical conflict and commodity supply shocks might shave 0.3% to 0.4% off economic growth over the next two quarters, but not nearly enough to bring recession into play. Despite these pressures, underlying demand remains firm, suggesting continued economic expansion.

Inflation is the bigger concern. We expect supply-driven shocks to push prices higher, potentially adding close to a percentage point to inflation if commodity costs stay elevated. As a result, the Federal Reserve is likely to stay on hold to assess upside inflation risks. The framework of an Iran deal that emerged last week and resulting dip in oil prices are encouraging in this regard.

Higher inflation tends to bring stock valuations down. While part of this relationship reflects higher interest rates, inflation can also slow growth and pressure profit margins if pricing power is limited.

Although margins are expanding now despite high inflation, boosted by AI investment, this relationship fundamentally extends beyond rates alone.

Cash Flow Matters

We’ve focused mostly on earnings, but cash flow provides a more complete picture. Substantial capital investment can depress cash flows, but that investment can be depreciated over time, reducing the drag on earnings (which can be misleading at times). So, while earnings drive stock prices over time, assessing future cash flow prospects is more difficult, but commonly perceived as a purer, more robust valuation method.

This is where the valuation discussion gets interesting. The previously capital-light hyperscalers (massive cloud computing and data center companies capable of scaling IT infrastructure seamlessly to support millions of users globally) are now capital-intensive and massive AI investments have essentially wiped out otherwise generated cash flows. When cash flows are depressed, the free cash flow yield (free cash flow divided by price) falls, making stocks appear more expensive and pushing the S&P 500’s current free cash flow (FCF) yield to 3.4%. This is below the post-1999 average of 5.4% (a higher FCF yield is more attractively valued), and comparable to levels observed during the dotcom peak.

However, one key difference today is that the companies making massive investments have some of the strongest balance sheets and the most cash-flow-generating ability ever achieved. If AI investments deliver as expected and capital spending eventually slows, cash flow generated down the road will be significant and could provide valuation support. While we fully acknowledge the risk of wasteful technology spending, we would argue it’s too early to say these stocks are expensive because of heavy capital investment.

Fair Value at Year End is Probably Higher Still

While equity valuations appear elevated across most traditional metrics, they are not disconnected from the broader macro and earnings backdrop. Today’s P/E multiple reflects a market pricing in continued economic resilience, eventual inflation moderation, lower interest rates, and meaningful AI productivity gains. That said, the margin for error is thin. With the ERP near zero and cash flow pressured by heavy capital spending, future gains will likely depend on policymakers effectively managing inflation and rates, and from corporations translating investment into durable earnings and cash flow growth

Importantly, elevated valuations do not signal an imminent market reversal. Markets can sustain higher multiples longer than expected when supported by solid fundamentals, though they are also more vulnerable to shocks when optimism is fully priced in. As this cycle evolves, monitoring the trajectory of rates, inflation, and earnings will be critical. Ultimately, valuations may not dictate near-term direction but may shape opportunities and risks ahead..

Given much stronger than expected earnings growth and the continued ramp in AI spending we saw during the first quarter earnings season, it would not be a surprise to see S&P 500 earnings per share in the neighborhood of $320 or higher in 2026 and over $350 in 2027. While our estimated year-end fair value range for the index is currently under review, a 22 P/E would place index fair value potentially in the range of 7,700 to 7,800. If corporate America’s spending plans are close to what has been communicated, the calculus for at least $350 per share in earnings in 2027 seems justifiable, while AI disappointments or an extended closure of the Strait of Hormuz could challenge this view.

Overall, modestly higher stock valuations are possible but expect earnings and cash flow growth to do the heavy lifting. In our view, this stock market is fairly valued at its current forward P/E (21 to 22) and further gains through year-end will likely be driven by positive surprises on AI adoption.

Asset Allocation Insights

Our continued support for a tactical equity overweight and fixed income underweight reflects our expectation of further easing of geopolitical and commodity supply concerns as a result of the U.S.-Iran conflict, alongside a more cautious outlook for select areas of core fixed income. Overall, our tactical views emphasize a modest equity overweight led by large cap growth, a continued focus on quality bond sectors, caution in rate sensitive fixed income sectors, and an ongoing allocation to diversifying strategies and alternatives.

Within equity sectors, we remain overweight in technology, supported by the sector’s strong and accelerating earnings outlook and abating AI investment skepticism. At the same time, given the magnitude of recent gains in semiconductor stocks, some consolidation of those gains is anticipated. We also maintain an overweight stance towards industrials on strong earnings momentum, favorable technicals, and continued tailwinds from fiscal spending and AI investment. On the other hand, we remain underweight in consumer discretionary and real estate, based on sub-par technicals and uncompelling valuations.

Closing Remarks

Our team remains committed to keeping you informed on market and economic developments as we continue to monitor portfolios and make adjustments, as appropriate. Please know that you’re always welcome to contact your dedicated team at 440.740.0130 if you have questions or would like to schedule time to meet with us at our office. For those who prefer to meet virtually, we continue to use Zoom meetings and are always available via phone. Just let us know how you prefer to meet, and we’ll make it happen!

Real People. Real Answers.
Health, Happiness, and a Life Well Lived,

Frank Fantozzi
CPA, MST, PFS, CDFA, AIF®, CEPA
President & Founder
Frank@ReturnOnLifeWealth.com

Frank Fantozzi was named a Forbes Best-In-State Wealth Advisor. The Forbes Best-In-State Wealth Advisor ranking, developed by SHOOK Research, is based on in-person and telephone due diligence meetings and a ranking algorithm that includes client retention, industry experience, review of compliance records, firm nominations; and quantitative criteria, including assets under management and revenue generated for their firms. Portfolio performance is not a criterion due to varying client objectives and lack of audited data. Neither Forbes nor SHOOK Research receives a fee in exchange for rankings.