The Wealth Effect Blog

With several large bank failures in recent months, we are all reminded of the 2008 Great Financial Crisis and Recession, when millions lost their jobs, homes, and ways of life. While many factors contributed to this economic disaster, one term can cover nearly all of them: systemic risk. The financial system plays a crucial role in the global economy, facilitating the flow of funds, managing risk, and supporting economic growth. However, it is also vulnerable to systemic risk, which can have far-reaching consequences for the stability of financial markets and the broader economy. Let's look at what systemic risk is and how it can impact your behavior as an investor.

Spring is the perfect time to freshen up not just your home but also your finances. As a tech professional, you work hard to build a successful career and secure your financial future. However, just like your physical space, your wealth plan may also need some spring cleaning to ensure it is in optimal shape.

In times of market uncertainty, investors often turn to sayings such as "those who fail to learn from history are doomed to repeat it" and "history never repeats itself, but it does often rhyme." When it comes to the daily headlines, both quotes are relevant, given the long history of banking crises and market swings.

Last week, one of the largest single value destruction events occurred in market history. As a result, many investors might be asking why, or even how, did this happen?

Coinbase, the popular Bitcoin and cryptocurrency exchange, began trading shares on April 14. Forgoing the traditional IPO process, Coinbase did a direct listing on the NASDAQ. Here's why that's unusual, and what interested investors may want to know.

While Bitcoin continues to rally in popularity and price, how has COVID-19 affected it in 2020?