“Russia Invasion of Ukraine Ignites European Security Crisis” per Bloomberg today 2-24-2022. Dow, S&P, NASDAQ all down 1.5-2.5% by end of day. Over the last year, the NASDAQ is down almost 7%. Bitcoin down below $40,000.
Goldman says 5 rate hikes this year and recently cut its GDP forecast. Many non-SPC IPOs pulled in January of this year. Lions and Tigers and Bears, oh my! (get the pun?)
However, we are in the hottest job market of all time. Metaverse, crypto, FinTech, smart contracts, etc. are exploding.
This financial services career coach asks you, “should you care about armed conflict?” In what follows, I will explain why you should care about this in your job search crisis.
You should care
No one can time the market. If you can, please call me immediately and I’ll gladly invest my kids’ inheritance.
Understanding where we are in the economic cycle should inform your job search strategy. Are you a bull or bear? Are you market neutral? Are your investments highly correlated with your job?
Funding has been easy but…
Let’s face it, over the past 2 years, with a halfway decent idea, any young company has been able to get funding. Furthermore, some of the business models are just plain stupid, either because their ideas don’t work, or because they are copying someone else’s ideas poorly.
Volatility has returned and probably will stay for some time. Marginal companies will not be able to raise money, and solid ones may not be able to raise enough to satisfy their business plans.
Did you know that Coinbase over the past year has been a top 5 VC investor in other FinTechs? From a FinTech point of view, they are all in. That’s neither good nor bad; it simply makes them a more volatile company. This may roll over into your job search crisis, too.
My thoughts turn to hedging your career a bit by dialing back on the risk factor.
If you move, target the right company:
• If your target company C-Suite has not been through multiple prior recessions, then it makes you wonder…
• Substantially increase the diligence you do on a target company including their capital cushion should the capital markets close for a period of time
• If you are thinking of moving to a Series A funding round company, maybe go a little more seasoned to a Series B/C
• Now may not be the right time to join an NFT (non-fungible token) company
If you don’t move:
• When feeling the need to really solidify your skills, stay put and take some courses to increase your knowledge
• Get a competing offer away and push your company to match or at least come close since wage inflation is rampant
• Take this as an opportunity to create new internal relationships across the firm and solidify existing ones
• Focus on increasing your LinkedIn connections by 50 per month by inviting alumni of your university and your former employers
Don’t stick your head in the sand. Think about what volatility means to you and your career.