The phrase “Your 401k” went viral on Twitter yesterday (May 9) in response to a tweet sent by Rep. Jim Jordan of Ohio.
Your 401k is missing President Trump.
— Representative Jim Jordan (@Jim_Jordan) May 9, 2022
While the post generated more than 100,000 likes, it also received a barrage of responses disagreeing with the congressman. However, many can agree that no one even wants to take a look at their 401k, savings, or investment portfolios right now, if you’re lucky enough to have one.
No matter their politics, everyone seems to have headaches and anxiety over the current state of their finances. the Dow Jones Industrial Average continues to fall, losing more than 4,000 points since the start of 2022. Falling for a 4th consecutive day today (May 10), the Dow Jones is not alone.
The Standard & Poor’s 500 index hit a 52 week low on Monday, although it collapsed today. The cryptocurrency also continues its free fall. “The Week” reported that Bitcoin “is down more than 50% from its high of around $69,000 in November 2021.”
And the days of pensions and employer safety nets are over. Thus, investments play a major role in preparing for the future and for retirement. Unfortunately, the financial downturn does not help. A Motley Fool Study as of 2019, Americans have an average of $65,000 in retirement savings, a far cry from what they will need for years in retirement. Forty percent of Americans believe they will not be able to retire, especially with the financial setbacks related to the pandemic.
Calm the Seas of Savings
Consumers, investors and savers are obviously concerned. And stuck in the middle of it all are financial platforms, banks and advisers. Communicators, once againwill answer the call and serve as cavalry in a sea of confused and worried customers.
Eric Hazard, CEO of Vested and CEO of Vested Ventures, says the current market fluctuation shouldn’t phase most businesses and financial institutions, especially if they have a long-term strategic communications plan. This plan can help maintain positive communication with customers and shareholders during these unstable times.
“These entities need to be proactive, rather than reactive, in developing this plan so that when market volatility hits like we are seeing today, there is a system in place that will help steer shareholders and customers in the right direction. direction,” Hazard said. said.
Basic elements identified by the hazard that should be included in a strategic plan:
- Strong message: The communication should “emphasize the long-term value of keeping investments in the market, that these downturns can be cyclical and normal, and that exiting the market too quickly could be detrimental.”
- Have a statement: “In times of volatility, these entities should have a statement ready for distribution to shareholders/investors, providing analysis of the market today, thoughts on future moves, and messages highlighting the long-term value of their investments.”
- Don’t ignore social media: “Be sure to communicate through proprietary channels, including your website and social media channels. Harnessing the power of owned media is key to reaching shareholders/investors quickly and with accurate information.”
Customers can, and will, reach out on social media. So what’s the best way for finance organizations to proceed if they’re bombarded with questions or angry customers? Hazard says social commentary should be seen as an “opportunity” for financial advisors to engage in one-on-one conversations and offer positive steps.
“Companies should view feedback as an opportunity for strategic business planning,” he says. “They should use social media monitoring to gauge customer/audience sentiment, share that feedback with executives, and put in place strategic plans to address all areas of concern for their target audience.”
Nicole Schuman is editor-in-chief for PRNEWS. Am here @buffalo