By Gary Reese
Faith Investments, Blufton
419-358-4207
We have been living through a very challenging time lately. Coronavirus has set new precedents on many different levels. Unfortunately, many people are left wondering from where and when their next paycheck will come because of these changes.
Despite these incredible challenges, we are confident that there is a light at the end of the tunnel. We’ve seen as a community and nation how quickly we can adapt to new challenges. As we transition through this period, one fundamental economic truth remains the same. Cash is king.
Many of those who have met with us have heard us say the phrase ‘cash is king.’ To us, that statement means that in the midst of change, transition, and unknowns cash provides the highest level of flexibility.
It also gives margin to respond to opportunities, when appropriate. Most often we encourage everyone to save at least 3 to 6 months of income in a liquid account. Two great examples of liquid accounts are a regular savings or checking account. We call this type of account an emergency fund.
Emergency funds give you the opportunity to avoid costly debt when disaster strikes, such as the Coronavirus situation. Essentially, in a situation like this, an emergency fund buys you time to maintain quality of life when your income is negatively impacted. It can also give you peace of mind knowing that you have the resources to cover unexpected expenses even during normal times.
Even when the economy or overall condition of the nation is ‘safe’, it is never wrong to have an emergency fund.
It is an investment in yourself to provide flexibility, peace of mind, and various types of opportunities. If you would like to start a conversation on how to start investing in yourself, please reach out to us.
Advisory Services are offered through Creative Financial Designs, Inc., a Registered Investment Adviser, and Securities are offered through cfd Investments, Inc., a Registered Broker/Dealer, Member FINRA & SIPC, 2704 S. Goyer Rd., Kokomo, IN 46902. 765-453-9600. Faith Investment Services is independently owned and not controlled by the CFD Companies.
