The Winter of Discontent
Just lately it seems to be quickly becoming the "Winter of Discontent". However, the good news is we're over the hump, we've had the shortest day and we're moving back towards longer days and warmer weather. But, before we get there the coldest days are yet to come. There's a bit of hardship yet to endure before we're back to the balmy weather and long days of summer.
And so it is with various aspects of our financial life. There's a lot of noise on how bad inflation is and set to get worse. Everyday price of services and goods going up. Interest rates continuing to rise. Returns on investments such as Kiwi Saver going backwards, the value of houses reversing, the general cost of living going up and, for many of us, the big one is the cost of fuel. The one thing we as a society can't seem to do without.
But here's the thing. Just like the seasons that come and go during the course of the year so are most things in life. Most things that affect us beyond our control are "cyclic". They come and go. Just like winter turns to spring and then to summer so to do many of our life's challenges. Long term things have a habit of levelling out. Now's not the time to stress and panic. Now's not the time to try and fathom out the things that we can't control. Now IS the time to consider and work on the things we CAN control. Take a deep breath and figure it out...
There also seems to be a lot of looking to blame for our current situations. Once again that doesn't fix the issues it just makes us angrier than we need to be. Remember stress, worry, blame are all like riding a rocking horse, it gives us something to do but doesn't get us anywhere!
I've recently had a number of clients concerned about their Kiwi Saver accounts losing money. I have to say here that we are NOT investment advisers, it's a whole different field in the Financial Services industry and we're not qualified to give such advice, but our industry associates tell us that investments are down right across the board. No Kiwi Saver provider is exempt from the current financial climate. They'll all suffering the same.
Once again, investments are cyclic. We experienced some very good returns in 2020 which logic tells us was going to hit a wall. It has.
Once again now's not the time to panic. Now's the time to ride the trough because the trough will once again return to a wave, maybe not as big but it will return. Hang in there,
it'll get better.
If you are concerned about your Kiwi Saver or any other financial investments you may have and need some reassurance or advice, then by all means give us a call. If we can't help you directly we can put you onto people who can. The one thing we can certainly help with is your insurances. Health, Life, and disability insurances. These are our areas of expertise. This is where we are very much qualified, experienced, and skilled to give advice on.
If you think you're paying too much or concerned about making sure you have the right insurances in place for you then gives us a call. ..
. .. after all it is what we do ...
Till next time stay warm and well, hunker down and ride out the storm ...
Cheers Hank
Contact Hank on 021357 062 or email hank@ppnzl.co.nz