Investment risk is always present, but during COVID-19, the stock market has experienced so much volatility that investors are beginning to wonder where to invest. Investors must consider how investment risk can decline their portfolio’s value due to economic events that impact the entire stock market.
Americans are starting to see the impact of increasing prices at the supermarket and the start of inflation. Also, clothing at retail stores is depleting as manufacturing has halted, creating demand for products ordinarily accessible.
Remote work is the ‘new normal’ since businesses have transitioned to remote operations or have completely closed for the duration of COVID-19. During 2020, the remote work culture has projected forward due to necessity, and companies that made the transition swiftly have also reaped the rewards of continual revenue during this period.
Many people have causes they are passionate about, whether it is a non-profit institution, animal or human rights efforts, ending homelessness, or another mission that benefits society. Some of these causes represent personal experiences that donors would like to help resolve for future generations, such as giving to a cancer research fund after a loved one passes. Still, others are passionate about conservation and may donate money to save rainforests.
When you leave your employer, you also discontinue contributing to your 401(k) or receiving your employer’s match. You may be going on to another employer or possibly retiring. Either way, you may want to consider a fixed-indexed annuity when rolling over your 401(k) to avoid the following:
When looking to protect your financial future in today’s COVID-19 environment, it’s essential to understand how the economy functions on a historical basis as it relates to the country’s GDP (Gross Domestic Product) and the stock market.
The U.S. unemployment rate is the percentage of unemployed workers in the total labor force and indicates the health of the U.S. economy. COVID-19 has significantly impacted unemployment to record numbers not previously seen since the government began tracking the data in 1939. COVID-19 has surpassed The Great Depression in the amount of unemployed and the economic fallout to businesses and workers.
When the U.S. economy is stagnant, the U.S. Government uses fiscal and monetary tools to stimulate the U.S. economy. However, with our economy facing multiple problems, that may not be an ‘easy fix’ in comparison to past recessions. COVID-19, social unrest, permanent business closings, and an upside-down GDP may prove to be difficult problems to overcome in the near term.
COVID-19 has changed the way that Americans shop and travel, impacting our spending habits indefinitely. With stores, hotels, and restaurants closed or at limited capacity, many choose to stay at home and purchase online or locally, helping to support their local small businesses. The positive impact of working from home, virtual meetings, and happy hours, on-line fitness classes, and being at home is that our consumption habits have changed. Read hear to learn why you should buy local and travel local.
What a decade this has been for retirement planning! Coming out of The Great Recession and into COVID-19 has many Americans nearing retirement considering not retiring as they have planned. Sometimes revising your financial plan and way of thinking is all you need to make retiring on time a reality. Check out these steps to help you revise your financial plan: