Prices, and worries, increasing
In this issue, PBI looks at the spiralling costs across the globe.
Switzerland-based Julius Baer has released the third of its Global Wealth and Lifestyle Reports. It centres on a number of consumer goods and services reflective of spending patterns of HNWIs to find the most expensive place in the world for the wealthy.
The pandemic is still ongoing in a number of countries, and it is not the only major global economic factor this year. Inflation has been a struggle in many parts of the world and the Ukraine crisis dramatically shifted much in the world.
As a result, the report recorded price rises or 75% of good and 63% of services in the Julius Baer Lifestyle Index.
In addition, unsurprisingly, UK inflation has increased yet again, reaching 9.4%. Cost of living will get higher for many when including cost repercussions from the Ukraine crisis and energy costs rising.
Costs, prices, and squeezed margins are likely to dominate headlines for the rest of the year and markets, and consumers, try to recover.
As margins are squeezed, so are clients. Will they be able to receive the same amount of care and attention from advisors when everyone is focusing on the bottom line?Doesthe answer lie in AI or robotics or even the Metaverse?
Patrick Brusnahan, editor