We are currently experiencing considerable inflation in the US with the dollar. Some economists define inflation exclusively as the increase in the amount of currency in circulation, period. The more currency chasing the same amount of goods makes each unit of currency worth less, and therefore, the goods cost more.
U.S Treasury Bonds and high-quality corporate bonds have always been considered a conservative and safe way to invest, compared to stocks. Many investment advisors would say, “subtract your age from 100, the number you get should be the percent of your portfolio invested in stocks, the rest should be in bonds”.
The word resiliency is defined as “the capacity to recover quickly from difficulties, toughness.” This is often used relating to physical wellness and stamina and the ability to recover from an illness. Financial resiliency is the ability to recover from an unexpected financial burden, like a medical bill or car repair that you didn’t see coming.
When you are thinking about getting healthy, the prescription for good health is straightforward. The core principles include eating right, staying active, and not smoking. When it comes to your finances and financial wellness, what’s the prescription to financial success?
Many financial experts are referring to the current economic situation in the US, and much of the world, as the “Everything Bubble”. Around the years 1995-2000 we had the tech bubble, otherwise known as the dot.com bubble, where the NASDAQ, which has a predominance of tech stocks, quintupled. The NASDAQ then plummeted by nearly 77% from 2000-2002. Fortunes were wiped out and companies with huge valuations and no earnings disappeared after first being valued at billions of dollars, without any real products or earnings.
Before the pandemic, the number of individuals who reported feeling moderate or extreme financial stress was 39%, but during the pandemic, that number has risen to 62%. The reasons for the increased stress are attributed to several financial concerns.
As a human resource manager, you have had the most challenging job of all. Human resources centers around people—the people who make your organization’s identity. As HR professionals, you support colleagues, some of who are their closest friends. You help your peers navigate payroll, benefits, training sessions, best practices, hiring, terminating, furloughing, and much more. These business functions were tough enough to manage before the pandemic, sometimes even underappreciated, but now you have to show up, encourage your peers, and roll out and communicate this changing work dynamic in a world full of unknown, not just for them but for you.