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Throughout history, inflationary episodes have been rare. It has therefore been difficult for investors and policy makers to draw parallels of today’s experience to history.
Even before war broke out in the Middle East, it was easy enough to make analogies to the 1970s. Inflation was running at a multi-decade high, geopolitics had been disrupted by a regional war in Eastern Europe and domestic politics in many developed economies had become startlingly polarised and fractious.
It has become trite to call the world is a very uncertain place. There are always unknowns, because the economic and political future is inherently unpredictable. Many scientists can make accurate predictions because the laws of nature allow them to.
The waters investors have had to navigate over the past three years have been exceptionally choppy. Since 2020, we have seen a brutal market correction, global bonds and equities going into retreat at the same time in 2022, a banking crisis, and more recently, yet another fallout in bond markets coupled with stock markets turning negative.
If I were tasked with taking my firm’s customer experience (CX) to the next level, I would: