2026 Midyear Client Letter
It is our pleasure to report on the continued progress of your financial plan during the first six months of 2026.
When we speak of "progress," however, we do not mean merely that account values have risen, although they have. True progress is broader and more meaningful than changes in market prices. Had our portfolios declined during this period (as they periodically and inevitably do) we would still regard the continuing growth in the earnings power of the businesses we own, together with their increasing dividends and cash flows, as genuine progress toward our long-term goals. Market quotations fluctuate constantly; the underlying value created by great businesses tends to compound over time.
As always, we begin by revisiting a handful of the enduring principles that guide our investment decisions. Markets, economies, and headlines change from year to year, but our investment philosophy does not.
General Principles
- We are goal-focused, plan-driven, long-term equity investors. Our portfolios are designed to support the achievement of your most important financial goals over years and decades, not to reflect any forecast about the economy or the markets.
- Our process begins with planning. We first establish your goals, then create a rational strategy for achieving them, and finally build a portfolio designed to support that strategy.
- We believe that plans should change only when goals change. As long as your goals remain substantially the same, there is generally little reason to make significant changes to a wellconstructed plan.
- We do not make investment decisions based on current headlines, economic forecasts, geopolitical developments, or market predictions. Experience has taught us that none of these can be forecast with sufficient consistency to provide a durable investment advantage.
- We do not believe that markets can be consistently timed. Accordingly, we remain fully invested through both favorable and unfavorable market environments.
- We therefore accept market volatility as a normal and unavoidable part of successful long-term investing. Rather than attempting to avoid every decline, we prepare for them in advance and remain focused on the long-term ownership of exceptional businesses.
Review and Perspective
There has rarely been a more eventful six-month period than the one just concluded. Investors have confronted geopolitical conflict, energy market disruptions, changing inflation expectations, uncertainty surrounding the future path of interest rates, historically elevated equity valuations, extraordinary concentration among the largest companies in the market, dramatic reversals in several speculative asset classes, and one of the most anticipated public offerings in financial history. At times, it has seemed that every week brought a fresh reason either for enthusiasm or concern.
The natural question is what investors ought to do in response to such an environment. We believe the answer is remarkably simple: very little.
One of the greatest advantages of having a clearly defined financial plan is that it frees us from the obligation to react to every new development. A major war may dominate headlines for weeks. Inflation expectations may shift dramatically. The financial media may confidently explain why investors should either buy aggressively or rush to safety. Yet none of these developments alter our goals, our plan, or the role our portfolio plays in helping us achieve those goals.
Consequently, our work continues much as it always has. We remain broadly diversified owners of businesses operating across many industries and regions of the world. We continue to rebalance when appropriate, systematically reducing exposure to areas that have become disproportionately large and increasing exposure to areas that have become comparatively smaller. This discipline often requires us to do precisely the opposite of what feels most comfortable at the time: selling portions of what has recently become most popular and adding to areas that investors currently find less exciting.
Meanwhile, the businesses we own continue doing what successful businesses have always done. They innovate, develop new products and services, gain customers, improve productivity, generate profits, and reinvest capital for future growth. Many continue to increase the dividends they distribute to shareholders. In the long run, it is these fundamental business results, not the daily fluctuations of stock prices, that drive investment returns.
It is also worth remembering how quickly investor sentiment can change. Only four years ago, investors were grappling with the highest inflation in decades, rapidly rising interest rates, and widespread fears of recession. Many wondered whether markets would recover anytime soon. Yet those very conditions ultimately became the foundation for the strong returns that followed.
This pattern is neither unusual nor unexpected. Throughout history, periods of optimism have eventually given way to periods of concern, and periods of concern have eventually given way to renewed optimism. Bull markets have been followed by corrections, and corrections have been followed by new bull markets.
A market correction is not a failure of the process; it is part of the process.
Many investors instinctively view rising markets as normal and declining markets as evidence that something has gone wrong. History suggests otherwise. Market declines are not interruptions to longterm wealth creation. Rather, they are among the mechanisms through which long-term returns are ultimately earned. Volatility has always been the price investors pay for the superior return potential of equities.
We cannot predict when the next decline will occur, what event will trigger it, or how far prices may fall. What we can do is acknowledge that such periods are inevitable, prepare for them in advance, and resist the temptation to abandon a sound long-term strategy when they arrive. As always, our confidence rests not upon any forecast of the economy or the markets, but upon our continued ownership of exceptional businesses and the long-term power of disciplined investing.
Looking Forward
As we look toward the second half of the year, we believe the greatest challenge facing investors is not inflation, interest rates, elections, or any other headline. Rather, it is the temptation to abandon discipline after an extended period of success.
Today's market contains no shortage of reasons for both optimism and caution. Artificial intelligence continues to reshape industries, a relatively small number of companies account for an outsized share of market returns, and valuations in some areas remain elevated by historical standards. These observations may all be true. What they do not provide is a reliable indication of what markets will do next.
History has repeatedly shown that investors can identify excesses long before those excesses come to an end. Recognizing that parts of a market may appear expensive is not the same as knowing what will happen next. We therefore remain unwilling to substitute prediction for planning. As Warren Buffett has often reminded investors, success is determined less by what we know than by our ability to maintain discipline when others lose theirs.
For that reason, our approach remains unchanged. We continue to focus on your goals, maintain broad diversification, rebalance when appropriate, and remain fully invested in the remarkable businesses we own. As always, our confidence rests not in prediction, but in preparation.
The Acadium Team
While markets and economies are constantly changing, our commitment to growing as professionals and as people remains unchanged. Great financial advice requires continuous learning, and 2026 has been another year of investing in the knowledge and capabilities that help us better serve our clients.
Stephanie Meulenberg continues to be an increasingly important member of our client service and operations team. This summer, she plans to sit for the Securities Industry Essentials (SIE) examination, an important step toward becoming a licensed financial professional. We are excited to see her reach this milestone and look forward to supporting her continued growth.
For Dawna DuClau, 2026 brings both personal and professional milestones. At home, her son Aiden is preparing to begin high school this fall. Professionally, Dawna is beginning the Enrolled Agent (EA) curriculum alongside Frank Hujsa through Gleim, one of the most respected tax education programs in the country. An Enrolled Agent is a federally licensed tax specialist authorized to represent taxpayers before the IRS. What attracted us to the Gleim program is its emphasis on developing deep technical expertise rather than simply teaching students how to pass an examination. As tax planning becomes increasingly important to comprehensive financial advice, we believe this knowledge will create meaningful value for our clients.
For Lindsey Hansen, the past year has been marked by both professional and personal accomplishments. Last fall, Lindsey earned the Certified Private Wealth Advisor® (CPWA®) designation. The CPWA® is one of the most advanced designations in our field, focusing on planning strategies for high- and ultra-high-networth clients—topics like estate and tax planning, philanthropic strategy, concentrated wealth, and executive compensation. The CPWA® reflects Lindsey's ongoing commitment to professional excellence and lifelong learning, further strengthening the advanced planning capabilities we bring to the families we serve.
At home, the Hansen family is celebrating an exciting new chapter. Brooks recently graduated from high school and will attend Sacred Heart University in Fairfield, Connecticut this fall, where he plans to study business and has earned a place on the university's varsity golf team. As their youngest child begins college, Lindsey and Robin are looking forward to this next chapter as empty nesters while cheering Brooks on from afar.
Tom Udovich is beginning the Certified Exit Planning Advisor® (CEPA®) curriculum this year, following Frank into the exit-planning community. Since earning the designation in 2024, Frank has seen firsthand the value that thoughtful exit planning can create for business-owner clients. Tom's experience, temperament, and ability to connect with entrepreneurs make this area a particularly natural fit, and we are excited to see him develop this expertise.
For Frank Hujsa, 2026 marks a meaningful milestone: his twentieth year serving clients in the financial services industry. Over those two decades, markets have experienced booms, bear markets, financial crises, recoveries, and countless headlines that seemed impossible to ignore at the time. Yet the core lessons have remained remarkably consistent: successful investing requires discipline, patience, humility, and a commitment to a sound long-term plan. Frank remains deeply grateful for the trust clients have placed in him over the past twenty years and looks forward to serving families and business owners for many years to come.
Frank also continues to pursue a lifelong goal of earning his private pilot's license. As noted above, he and Dawna will be working through the Enrolled Agent curriculum together this summer. The designation complements Frank's existing planning, insurance, and business-owner credentials and reinforces our commitment to delivering increasingly comprehensive advice.
As a team, we remain committed to strengthening our expertise, expanding our value, and delivering advice that helps clients make confident decisions throughout every stage of life. The markets will change, technology will evolve, and circumstances will shift, but our mission remains the same: helping our clients pursue their goals with clarity, confidence, and peace of mind.
We are here to respond to any and all questions and concerns you may have. Thank you, as always, for being our clients. It is a privilege, and indeed a joy, to serve you.
Best regards
Frank Hujsa, CFP®, CLU®, CEPA®
Partner, Acadium Financial Partners
27499 Riverview Center Blvd, Suite 108
Bonita Springs, FL 34134
Lindsey Hansen, CFP®
Partner, Acadium Financial Partners
3601 PGA Blvd, Suite 301
Palm Beach Gardens, FL 33410
Thomas Udovich, CFP®
Partner, Acadium Financial Partners
3601 PGA Blvd, Suite 301
Palm Beach Gardens, FL 33410
Any opinions are those of Frank Hujsa, Lindsey Hansen, and Thomas Udovich and not necessarily those of Raymond James. Expressions of opinion are as of this date and are subject to change without notice. There is no guarantee that these statements, opinions, or forecasts provided herein will prove to be correct. The information contained in this letter does not purport to be a complete description of the securities, markets, or developments referred to in this material. The information has been obtained from sources considered to be reliable, but we do not guarantee that the foregoing material is accurate or complete. Securities offered through Raymond James Financial Services, Inc. member FINRA/SIPC. Acadium Financial Partners is not a registered broker/dealer and is independent of Raymond James Financial Services. Investment Advisory Services offered through Raymond James Financial Services Advisors, Inc.
Investing involves risk and you may incur a profit or loss regardless of strategy selected. Past performance does not guarantee future results. Keep in mind that individuals cannot invest directly in any index. The S&P 500 is an unmanaged index of 500 widely held stocks that is generally considered representative of the U.S. stock market.
Certified Financial Planner Board of Standards Inc. owns the certification marks CFP®, CERTIFIED FINANCIAL PLANNER™, CFP® (with plaque design) and CFP® (with flame design) in the U.S., which it awards to individuals to successfully complete CFP Board’s initial and ongoing certification requirements.