{"id":3815,"date":"2022-01-07T12:18:41","date_gmt":"2022-01-07T12:18:41","guid":{"rendered":"https:\/\/new.contentdeployment.co.uk\/tomd\/?p=3815"},"modified":"2022-01-07T12:18:41","modified_gmt":"2022-01-07T12:18:41","slug":"building-financial-resilience-in-2022","status":"publish","type":"post","link":"https:\/\/new.contentdeployment.co.uk\/tomd\/2022\/01\/07\/building-financial-resilience-in-2022\/","title":{"rendered":"Building financial resilience in 2022"},"content":{"rendered":"<div class=\"hd-block hd-block-paragraph\">\n<p><strong>The new year\nis the perfect time to reassess how your finances are faring and take advantage\nof any opportunities that may lie ahead. Household budgets are likely to be\nstretched in 2022, with rising inflation and tax increases already on the\ntable. It makes sense to quantify your assets and position them appropriately\nto build financial resilience for your future.<\/strong><\/p>\n<\/div>\n\n<div class=\"hd-block hd-block-paragraph\">\n<p><strong>Millions\nforecast to be worse off <\/strong><\/p>\n<\/div>\n\n<div class=\"hd-block hd-block-paragraph\">\n<p>Analysis by the\nInstitute for Fiscal Studies (IFS) shows that living standards are set to\nstagnate over the next few years. This year specifically, an average\nmiddle-income earner will see take-home pay fall by around 1% as soaring\nhousehold bills and an increased tax burden outpace any anticipated rise in\nwages. Research<sup>1<\/sup> also highlights the pandemic\u2019s impact on finances,\nwith almost 16 million people feeling more financially vulnerable than before\nthe pandemic.<\/p>\n<\/div>\n\n<div class=\"hd-block hd-block-paragraph\">\n<p><strong>Plan for\nyour future<\/strong><\/p>\n<\/div>\n\n<div class=\"hd-block hd-block-paragraph\">\n<p>This situation\nis exacerbated by the fact people typically devote relatively little attention\nto financial matters. For example, one study<sup>2<\/sup> found that more than\nfour in ten adults would either struggle to locate and access their pension, or\nsaid they had \u2018no idea\u2019 whatsoever about their pension pots.<\/p>\n<\/div>\n\n<div class=\"hd-block hd-block-paragraph\">\n<p>Building\nfinancial resilience, however, lessens the impact of any unforeseen\ncircumstances and ensures you are prepared for life\u2019s key events, such as\nretirement. It\u2019s therefore vital to plan now for the future you deserve.<\/p>\n<\/div>\n\n<div class=\"hd-block hd-block-paragraph\">\n<p><strong>Inflation-proof\nyour finances<\/strong><\/p>\n<\/div>\n\n<div class=\"hd-block hd-block-paragraph\">\n<p>Inflation can\nerode savings quickly and is a growing concern for many. As a result, savers\nhave been increasingly switching money from deposit-based accounts into\ninvestments \u2013 research<sup>3<\/sup> suggests over half of UK adults have already\ndone this.<\/p>\n<\/div>\n\n<div class=\"hd-block hd-block-paragraph\">\n<p><strong>Diversification<\/strong><\/p>\n<\/div>\n\n<div class=\"hd-block hd-block-paragraph\">\n<p>The spectre of\nrising inflation certainly means investors need to carefully consider how to\ninflation-proof their portfolios. As always, maintaining a diversified range of\ninvestments is key, with appropriate portfolio construction enabling successful\nnavigation through any periods of uncertainty.<\/p>\n<\/div>\n\n<div class=\"hd-block hd-block-paragraph\">\n<p><sup>1<\/sup>Royal\nLondon, 2021<\/p>\n<\/div>\n\n<div class=\"hd-block hd-block-paragraph\">\n<p><sup>2<\/sup>money.co.uk,\n2021<\/p>\n<\/div>\n\n<div class=\"hd-block hd-block-paragraph\">\n<p><sup>3<\/sup>Aegon, 2021<\/p>\n<\/div>\n\n<div class=\"hd-block hd-block-paragraph\">\n<p><strong>The value of\ninvestments and income from them may go down. You may not get back the original\namount invested. <\/strong><\/p>\n<\/div>","protected":false},"excerpt":{"rendered":"<p>The new year is the perfect time to reassess how your finances are faring and take advantage of any opportunities that may lie ahead. Household budgets are likely to be stretched in 2022, with rising inflation and tax increases already on the table. It makes sense to quantify your assets and position them appropriately to [&hellip;]<\/p>\n","protected":false},"author":12,"featured_media":3816,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[32,89,90],"tags":[],"hd_content_source":[],"_links":{"self":[{"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/posts\/3815"}],"collection":[{"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/users\/12"}],"replies":[{"embeddable":true,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/comments?post=3815"}],"version-history":[{"count":2,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/posts\/3815\/revisions"}],"predecessor-version":[{"id":3820,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/posts\/3815\/revisions\/3820"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/media\/3816"}],"wp:attachment":[{"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/media?parent=3815"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/categories?post=3815"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/tags?post=3815"},{"taxonomy":"hd_content_source","embeddable":true,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/hd_content_source?post=3815"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}