Return of the Consumer

Session: 18 March

2021 – how do we move on from the year that never happened? 2020 – the year that never happened, or perhaps one we could like to forget? We saw economic activity dry up in 2020 with fewer consumers buying and few companies investing. However your choose to remember it (or not), it had a dramatic effect on the global economy and no doubt will have a lingering effect in 2021.

On this session, Cat McInally and Kirsty Anderson, Business Development Managers covered off the main investment themes for 2021. In particular they focused on the theme of inflation and the potential outcomes. There are two main trains of through around inflation for 2021. One camp will tell you inflation is dead, while others are increasingly vocal about how they believe inflation is set to return. They discussed both sides of the argument and what this may mean moving forward for your client’s portfolios, their retirement income planning and other tax wrapper advice issues.

Learning Outcomes – to demonstrate an understanding of:

  • Key investment themes for 2021 with a particular focus on inflation
  • The theory behind the arguments ‘for and against’ the return of inflation
  • How this may impact client portfolios, retirement income planning and other tax wrapper considerations
Featured Video

Return of the Consumer

51 minutes View transcript

To claim your CPD certificate, test your knowledge with the questions below.

Write down your answers to each of the following questions and check your answers when you click through to claim your CPD certificate on the link below.

Test your knowledge

1. Typically what happens to the value of gifts when interest rates rise?

a. The value also rises

b. The value will fall

c. Nothing, it will stay the same

 

2. What is a key belief of monetarist economists?

a. They believe the growth in money supply will fuel inflation

b. They believe inflation will remain low because of high unemployment

c. That a surge of inflation is unlikely because we didn’t experience high inflation in the last recession

 

3. Which is not a type of cashflow modeller?

a. Stochastic modeller

b. Variable modeller

c. Deterministic modeller

 

To claim your CPD certificate, click here.

"Prudential" is a trading name of Prudential Distribution Limited. Prudential Distribution Limited is registered in Scotland. Registered Office at Craigforth, Stirling FK9 4UE. Registered number SC212640. Authorised and regulated by the Financial Conduct Authority. Prudential Distribution Limited is part of the same corporate group as the Prudential Assurance Company. The Prudential Assurance Company and Prudential Distribution Limited are direct/indirect subsidiaries of M&G plc, a company incorporated in the United Kingdom. These companies are not affiliated in any manner with Prudential Financial, Inc, a company whose principal place of business is in the United States of America or Prudential plc, an international group incorporated in the United Kingdom.