👉 Wealth fluidity refers to the dynamic and constantly changing nature of wealth, which is influenced by various factors such as economic conditions, policy changes, market trends, and individual financial decisions. Unlike static assets, wealth can expand or contract rapidly, reflecting the broader economic environment and personal financial strategies. For instance, during economic booms, asset values may rise, increasing wealth for those with investments in stocks or real estate. Conversely, during downturns, wealth can plummet due to market crashes or reduced income. This fluidity underscores the importance of adaptable financial planning and the need to continuously reassess and adjust wealth management strategies in response to changing circumstances.
