GLOBAL TREND AND ISSUES in FINANCIAL MANAGEMENT

Submitted to: Dr Carmela Perez

Submitted by: Ivy Cullo- Group 4
MAY 28, 2023 Class

Financial Planning Concepts: Industry Trends

Financial Services Industry in 2030

 Consumers expect advisors to act in their best interest (the fiduciary standard)
 Wealth gap less pronounced
 Huge wealth transfer, working with younger clients, age of current advisors…
 Women as clients
 Diversity
 Technology
 Demand for transparency

The Future of Advice

 Expanding need for professional advice
 Ability to translate personal needs into a strategy
 Want a full-service relationship with access to various types of financial advice
 Want account access from anywhere, any-time- want technology based services
 The changing conversation: increasing focus on issues related to aging, family &
technical issues related to retirement income planning.

Key Takeways- for our group’s assigned video

A Financial advisor recommends strategies, products, or tools that are most likely to
benefit the client, regardless of how it affects the advisor. Additionally, it could mean
turning down a potential client because they know that the services offering are not
right for them and they could find a better match somewhere else.

The fiduciary standard is the golden standard followed by the financial advisors which
is to act in the best interests of the client.

A fiduciary must never take on a client who won’t benefit from available services and
should never make a recommendation to that client that isn’t the best option in their
situation.

Of course, even fiduciaries aren’t fortune tellers. Being a fiduciary does not guarantee
a positive result. It only ensures that the decisions being made do not have ulterior
motives attached.

All financial advisors and planners are not fiduciaries. When establishing an advisory
relationship, it’s important to know where the advisor’s loyalty lies.

Having a solid understanding of what a fiduciary is and what you’re looking for as far
as a financial service or product will help protect you from being taken advantage of.
This is also true of most personal finance concepts, so make sure you’re taking the
time to educate yourself prior to any financial decision.
Diversity and inclusion is now much more than a ‘progressive idea’ or concept. It has
now become the need of the hour for organizations worldwide.

The above-mentioned diversity and inclusion trends only point to the fact that the
world is hungry for radical change. It is time that organizations realize this and mold
our company culture in all the right ways.

Diversity is a broad topic in term of industry trends. Diversity includes the following
an evolving remote workforce, enabling diverse gender identity and gender
expression, multi-generational workforce, eliminating unconscious bias in the
workplace, gearing up for systemic change, hiring diversity professionals, increased
transparency in goals, supporting employees mental health and looking beyond
tokenism.

1. An Evolving Remote Workforce

With the COVID-19 outbreak last year, companies had no option but to adopt a work-
from-home model. Although people are slowly going back to their workplaces, the
remote work model is here to stay.

According to Global Workforce Analytics, 56% of the U.S. workforce can feasibly
work from home. Moreover, 25-30% of the workforce will work from home by the
end of 2023.

When working remotely, different employees have different living conditions. For
instance, working women are expected to balance home and work-life, access to
health facilities vary depending on internet facilities and geographical locations, there
might be lack of a dedicated and quiet space for employees to focus on their work,
and so on.

Thus, people in leadership positions need to figure out ways to bridge these gaps, and
minimize such a distributed model’s challenges.

2. Enabling Diverse Gender Identity and Gender Expression

In recent times, there has been increasing awareness about diverse gender identities
and gender expressions.

Globally, organizations have been trying to grapple best with these dynamics by
adopting inclusive practices such as giving people access to gender-neutral restrooms,
including employee health benefits for transitioning individuals, creating awareness
around using inclusive language for gender non-binary and transgender employees,
etc.

3. Multigenerational Workforce
 The working population has never been as diverse as present times. The generational
makeup of the current workforce includes up to five different generations. This
includes:

 The Silent Generation (born between 1928-45)

 The Baby Boomers (born between 1946-64)
 The generation X (born between 1965-1980)
 Millennials or Generation Y (born between 1981-96)
 The newest generation, Generation Z (born since 1997)
Each of these generations has unique expectations from their professional lives. They
bring in different life experiences, voices and skill sets to a company.
It is important for employers, HR managers, and people in leadership positions to be
aware of the attributes and abilities of each generation. Leaders should use different
strategies that cater to, and celebrate employees of every generation.

4. Eliminating Unconscious Bias in the Workplace

Unconscious bias refers to the tendencies to process information and make decisions
based on unconscious or inherent biases and prejudices toward an individual or group.

Unconscious bias impacts the kind of relationships we have with people and directs
how we make decisions in the workplace.

To build a truly inclusive workforce with people from different backgrounds and
experiences, business leaders must ensure that these biases are checked and
minimized consistently.

5. Gearing up for Systemic Change

2020 witnessed some significant events that highlighted systemic injustices and flaws
across institutions. The murders of George Floyd, Breonna Taylor, and so many
innocent people of color exposed the grim realities of a racist and unjust society.

Organizations should gear up for some radical and much-needed systemic changes
that will impact the functioning of societies and workplaces alike. Leaders should do
their best to combat any discrimination against underreprented groups in their
company. Policies should be put in place to ensure that the workplace is a safe hub for
every employee.

6. Diversity, Equity, and Inclusion

Many workplaces today focus on DEI instead of D&I. DEI stands for Diversity,
equity, and inclusion.

Equity has become just as crucial as D&I in several global companies.

Equity in the workplace refers to fair and impartial processes and outcomes for each
individual in the company.
To ensure fair and impartial processes and outcomes, leaders and employers need to
be mindful of the challenges, barriers, and advantages at play for everyone at any
given point in time.

Equity is the reminder that not everyone starts at the same level playing field, and so
swift and vigilant action is paramount to building a fair workplace.

7. Hiring Diversity Professionals

Yup, you read that right. It is interesting how ‘Diversity Professionals’ is a relevant
job role at workplaces.

Companies are now hiring diversity professionals who are committed to the vision
and mission of creating a diverse and inclusive workplace. These job roles are a mix
of HR, recruitment, and leadership roles and responsibilities.

Diversity professionals carry on a number of tasks such as holding and organizing

educative sessions on diversity and inclusion, creating an inclusive culture in the
workplace, introducing new ideas to improve D&I in the workplace, rooting and
pushing for the use of an inclusive language, managing complaints on harassment and
workplace discrimination, etc.

As the role of diversity professionals have become increasingly popular, the trend of
hiring them is only predicted to grow this year.

8. Increased Transparency in Goals

We know that more diversity in a company does not necessarily equal more equity
and inclusion. While efforts at diversity may increase, the same is not always the case
for efforts at inclusivity.

A growing diversity and inclusion trend in 2023 will be for companies to set
transparent targets, goals, and D&I initiatives. Doing so will increase accountability
of people in leadership positions, encourage honest conversations between employees
and their bosses, and inspire them to share ideas and solutions.

9. Supporting Employees’ Mental Health

The unprecedented arrival of a global pandemic and its aftermath was a blow to the
mental health of employees and professionals across the globe.

Even though the conversation around the mental health and wellbeing of employees
was already gaining traction in the past couple of years, 2020 witnessed it take a
whole new turn.

With businesses shutting down, people losing jobs, adjusting to the new normal of
working from home, and the constant health scare of getting coronavirus, there was a
lot that hampered the peace and sanity of employees.
Consequently, a relevant diversity and inclusion trend in 2023 will be for
organizations to take intentional steps at supporting the mental health of its diverse
pool of talent. This does not only include putting effective policies in place. The
simple things like how supervisors, managers, and coworkers talk, behave, and
empathize with each other matter as well.

10. Looking Beyond Tokenism

Diversity and inclusion is much more than hiring that one POC, or including one
woman in a panel full of men.

In 2023, it is time for organizations to do something solid and not just the bare
minimum when it comes to incorporating D&I initiatives in place.
Diversity just for the sake of diversity, or political correctness, will not make the cut
anymore.

Diversity and inclusion have to be done more dynamically. For instance, merely
greeting employees during a festival like Ramadan will not work.

Employers and HR professionals must empathize with them while observing fast.
Moreover, employers must take proactive steps to assist and support Ramadan
observing employees. They have to show respect for their culture and tradition.

It is now time for organizations to be more mindful, and intentional, about their
diversity and inclusion goals and strategies.

1. What are Diversity and Inclusion Trends?

D&I trends are nothing but how a workplace can become more inclusive, diverse, and
equal. It promotes diversity and equity using the right methods without offending
anyone.

2. What is the difference between Diversity and Inclusion?

Diversity refers to welcoming, hiring, and giving opportunities to people from all
sorts of backgrounds, races, cultures, gender, sexuality, age, ethnicity, etc. It is about
making your workplace diverse by hiring the right talent for all sorts of minorities and
differences.

On the other hand, inclusion is about how your workplace accepts, respects, and gives
equal and fair treatment to all employees, irrespective of their diverse identities,
gender, and sexualities.

3. What are the types of Diversity?

 Age
 Disability
 Gender reassignment
 Race
 Religion or belief
 Sex
 Sexual orientation

4. How to promote Diversity and Inclusion at work?

There are multiple ways to promote D&I at work, and to begin with; you can start
making a framework and organize sensitization programs for awareness. Hire more
people from diverse backgrounds. Promote gender equality.

Celebrate diversity in the workplace on special events like Juneteenth, Black history

month, pride month, and others. And you can take reference from the diversity and
inclusion trends mentioned in this blog to promote D&I at work.

Individual Reaction- Group 1 report (9 Important Trends for the 2022 Financial
Markets)

There are many Global trends in Financial Markets that arises after the Covid-19
pandemic in the year 2020. These Global trends in Financial Market prove the
unprepared business sector of the economy. Resiliency is now the main focus of the
market to survive this kind of global crisis.

The 9 important trends for 2022 are (1) Unprecedented Fiscal and monetary
Expansion (2) Demand Overwhelming Supply (3) Global Energy Crisis (4) Inflation
(5) Accelerating Digital Technology Revolutions (6) Capital Market Innovations (7)
Crypto Mania (8) Raging Bull Market in Equities and Real Estate and (9) Tax
Planning Uncertainty.

In the present, Philippines political issues include the passing of the Maharlika
Investment Fund. There are some rumours that this investment fund will create a new
Crypto Currency in the market. This Philippine market trend will be under the wing of
the Unprecedented Fiscal and monetary Expansion. Despite of the corruption issue in
the Philippines government brought by the Congress pork barrels still this Maharlika
Investment Fund gives hope to the financial growth of the economy.

Another trend arises after the pandemic was the Accelerating Digital Technology. The
demand for internet connection increases as this is now categorized as our primary
daily needs in life. Aside from the power interruption business cannot operate without
the use of internet. This digital technology isolates people from the global trends
ignorance where on social media posted all kinds of products and services.