MINISODE: The Importance of Liquidity in a Crisis

As part of our COVID-19 Crisis Series, we’re covering what you need to know about market uncertainty and your money during these unprecedented times. In our newest minisode, we talk about the most important thing you need to keep in mind during this crisis: liquidity. 

Liquid assets are assets that you can easily sell or buy without affecting the asset’s price. The value of illiquid assets, like real estate, can fluctuate or decrease. During a crisis, you need liquid assets to protect yourself for what’s happening and what’s to come. As Danielle says in this minisode, we don’t know how long this is gonna last or how bad it’s gonna get. Having liquidity — cash on hand — can support you through a crisis.

So, how can you get liquid assets right now and in the future? Spoiler alert: it doesn’t necessarily mean it’s time to make a run on the banks. 

Instead, listen to these tips on how to infuse a little extra cash into your life (without risking your future potential wealth). 

WHAT YOU’LL LEARN

• Dustin’s experience in the 2008 financial crisis
• The importance of liquidity
• The “domino effect” of cash in a crisis
• Stimulus measures you can take advantage of right now
• Why you should open up more credit lines if you can
• How you can use your debt rather than pay it down
• What you might do with your bills and savings

This material is for general information only and is not intended to provide specific advice or recommendations for any individual.

RESOURCES & PEOPLE MENTIONED

• • More stories from the 2008 crisis in Episode 104
  • More on liquidity in Episode 66
  • The Paycheck Protection Program
  • The Economic Injury Disaster Loan Emergency Advance
  • The Louisiana Loan Portfolio Guaranty Program (LPGP)
  • The Toujours Planning Blueprint to Wealth + Security 
  • Our YouTube C