034: Rossmoor Financial Forum: The 3 I’s – Inflation, Interest Rates, and Investing

Inflation and interest rates.

They’ve been in the news quite a bit lately, and with good reason. Both have a profound effect on our everyday lives. We cannot help but feel inflation’s sting every time we buy groceries or fill our gas tanks. And even those seemingly trivial items we once purchased online without batting an eye cause us to think twice before hitting the “Buy Now” button.

Inflation seems particularly scary when you’re on a fixed income — even if you feel that you’ve planned adequately for your retirement. Where we once experienced 2-3% inflation — and sometimes even less than that — we’re now in the neighborhood of 8%. So it’s logical for us to wonder just how much longer high inflation will continue to put a crimp in our spending power.

In its effort to curb inflation, the Fed has raised interest rates several times, which are now higher than they’ve been in quite a while. And even though they’re still not all that catastrophic from a historical perspective, this has also changed the financial landscape. It’s now more expensive to buy a home or borrow money, for example — the latter of which is a major concern for consumers and corporations alike.

If you’re like most investors and you’re wondering how best to refine your investment strategy to accommodate these changing conditions, we’ve got you covered. Richard and Angela recently collaborated with the Rossmoor Financial Forum to give an illuminating presentation on how we can all learn to ride the wave of our current financial situation – because it will happen again!

The Rossmoor Financial Forum is a diverse group seeking clarity and understanding in the world of finance. They aim to provide their members with the education and tools necessary to make informed decisions regarding their portfolios. They also work to expand their financial literacy ranging from local to international issues.

In their presentation, Richard and Angela will talk about:

• The real cause of inflation, and why the events of the past three years made inflation pretty much inevitable.
• Why the Fed’s primary tool for combating inflation is usually so effective, and what the Fed’s target number for inflation is for the future?
• Our history with recessions, what differentiates them from depressions, and why we’re so much better prepared to deal with recessions than we once were.
• Why investing based on gut instinct is the exact opposite of what you should do if you want to be successful.
• What moves should investors make in our present inflationary economy?

And more!

We hope you’ll see things aren’t necessarily as ominous as they seem. Yes, interest rates may appear high, but they’ve been much higher on many occasions. And while recessions can’t help but evoke some concern, they aren’t the cataclysmic events the media portrays them to be. So, it’s time to put knowledge on your side to quell those concerns and learn how best to set yourself up for success regardless of what the economy is doing.