Sure the start of 2022 sounds chaotic, a war between Russia and the US might break out, Omicron, inflation and the list goes on. What can you do? First shut the noise out. Noise is all the news, social media post etc.
1- Is the economy tanking again? I do not believe so. Is it taking a hit? Sure. What makes me say the economy will not tank or sink? Because we already know what works and the government will not let it drop so low. Are we going to lockdown again? Of course not.
What can you do to position yourself? Wait for the next big drop (correction) then buy some S&P 500 index fund like VOO. Like now !!! With an ETF you can buy as little as $20 dollars.
See this graph of the S&P 500 (500 most successful businesses in the US) dating back 10 years, don't you wish you should have invested back in 2012?
Remember the most important principle -
"It is time in the market that counts, not timing the market"
Timing the market is when you sell for fear of dropping and buying when you anticipate it will rise. this has been proven to be very ineffective.

2- Stop Renting, expect the rents to continue rising. Position yourself to buy a property, ANY property and yes NOW. Why now? The interest rates are at an all time low. They will start to rise in the coming months/years.
See this graph with the mortgage rates dating back to the 1970's. When you buy a property with a 30 year fix rate mortgage, the monthly payment will not change for the next 30 years, in turn your salary will most likely go up.

3- Do you know what CPI (consumer price index) is? It is that fancy name politicians and economist give to inflation. Why should you care? In case you have not noticed the price of your everyday goods are going up. For example the price of Christmas lights has gone up almost by 50%. Expect continued rise of your everyday goods. What can you do to minimize the impact? Drive your car a little longer. Do not lease a car. Exercise at home. Bring your lunch to work. Skip the Starbucks. Next time you hear CPI in the news now you know what they are talking about.
4- Mitigate Covid risk-
-Lose weight - We all know obesity, if not the most important risk factor, one of the most important risk factors for dying from Covid-19. Lose weight by decreasing portion sizes and exercising. Make changes to start eating and living healthier.
-Get vaccinated, tone down the noise of people with no credible background and look closely at the data. If are fully vaccinated your risk fo dying or getting hospitalized are extremely low.

- Paxlovid is coming out. This drug stops covid in its track and prevents hospitalization and death. VERY hopeful.
Few pointers after a long hiatus, this covid-19 pandemic has kept me extremely busy now that most vaccinated are not getting admitted, most of the work is done in the outpatient arena.
Do not say - "Covid-19 is just a cold".
Next time you see your doctor, be appreciative and understanding if they are running late. You do not know if the patient before you just got diagnosed with Pancreatic cancer stage 4 and has 3 young kids.
Till next time.
JL
Disclaimer - This blog is meant purely for educational discussion of finances. It contains only general information about financial matters. It is not financial advice, should not be treated as such. The contents of this blog are not medical advice, for medical advice please talk to your medical provider.
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