Diversified Resilience for Multi-dimensional risk ??

Next week we hit the highway again for round four of our move to our tiny house in New Mexico. We are acutely aware of the risk of 30+ hours on crowded interstates while towing trailers. We will be depending on so many tires subject to hot temperatures and degraded roadways. It takes an hour of box breathing to tamp down my anxiety after we leave the driveway.

So many parts of our lives involve risk: career pivots, taking on debt, growing a family, driving to the grocery store, being online. Every micro decision and a myriad of conditions well outside of our control have both upside and downside potential.

In an earlier article I wrote about resilience being more than diversification. Lately I have been talking about both risk and resilience being multidimensional, as I feel it is incomplete to look only at our investments as sources of risk and / or future security.

Here are some Multi-dimensional Risk Questions I have been thinking about:

1. How are we weighing the full range of risks we face from Self through Global: behavior, health, decision, inflation, environmental, financial.
2. How uncertain do we feel the world is, and what level of correlation do we feel between the world’s uncertainty our individual experiences.?
3. How do we manage certain risks over which we have control (for example debt) while selectively exposing ourselves to risks we can get behind in arenas we cannot control (for example investments).
4. How stressed do we feel about our future, and what is the appropriate level of stress compensated by the possibility of profit from the risk we take?

I took a major risk starting my own business, investing a piece of my savings into my belief in my ideas. Meanwhile I am shifting risk away from debt tied to the real estate market by going tiny. It was a risk reconfiguration that aligned with my values better than staying on the corporate track with one employer having control over my destiny, happiness and ability to pay for my American Dream House.

Here are some Diversified Resilience Questions I have been asking myself and others

1. How are we equipped to be resilient in a downturn or crisis either personal or global.?
2. What are our skills, relationships, resources, knowledge that can enable us to take care of ourselves?
3. Are we actively building our holistic resilience toolkit, or are we expecting economic systems to take care of us all by themselves.?

I personally feel better bringing some of my own capital to the equation. It makes me feel that I am not completely vulnerable to conditions outside of my control.

??If you think tiny living might be one part of your risk and resilience strategy, take my Unconventional Values Quiz to uncover your motivations.