Covid Triggers College Rethink
This week, we talk about the way the pandemic is changing how future students and their parents plan for university.
Welcome to our weekly chat about the environmental and social issues that influence the way we work, spend our money and live our lives. We're your hosts, Maitane Sardon and Dieter Holger. Want to get our newsletter every Wednesday? Hit the subscribe button in the upper right corner and please share with your friends!
Hi, Dieter! It’s hard to think of one aspect of daily life that the coronavirus pandemic hasn’t changed. The college experience is no different.
Absolutely. The pandemic has all kinds of financial implications that are going to affect where students apply, how they get financial aid and where they live, among others. The Wall Street Journal’s latest special report explores all these issues and offers advice for parents and students in the U.S.
Yes! One story that caught my eye mentioned how parents with children who are approaching college age are facing added pressure due to uncertainty about job stability and how long the pandemic will last. This pressure is making them rethink some of the traditional ideas they had about college savings.
Really? What things are they doing differently this year?
For example, financial planners say they’ve been advising parents to keep more of their savings liquid in case they lose their jobs or see their income decrease and need to use that cash. One investment advisor also recommends parents and students consider other options such as volunteering in a gap year or studying at home for a while so they can save on university housing costs.
Interesting. What other tips do experts have for those trying to figure out how to pay tuition bills?
They say it is worth researching how schools are handling the pandemic, as some colleges have waived fees associated with living on campus while others may be charging a technology fee for online courses. They also say it is a good idea to complete financial-aid forms as early as possible and explain how one’s financial circumstances may have changed.
Anything else caught your eye recently, Dieter?
Two companies have. Winners in the virus economy are home-goods giant Procter & Gamble and cleaning-supplies maker Reckitt Benckiser after people started using more cleaning products. In the most recent quarter, P&G, known for its Swiffer brand, Dawn dish soap and new surface cleaner Microban 24, saw its best sales in 15 years and Reckitt, the owner of Lysol, sold more goods than in any previous quarter in its history.
That makes a lot of sense. You can also see how the stocks of P&G and Reckitt have shot up this year and even done better than the broader market.
What am I looking at? The chart above shows the year-to-date stock performance of P&G and Reckitt compared with the S&P 500 index that contains America’s largest companies.
Dieter: Some grocery companies have also done very well this year for similar reasons. Clearly, not all businesses are doing terribly during the crisis. Now let’s open it up to our readers: Have your or anyone you know changed their college plans because of the pandemic?
Share your thoughts below, email us or catch us on Twitter. Your words could appear in our next edition! Have a great week and remember to wash your hands. 👋
Meet the team:
Elevate the Conversation is produced by the editorial teams of The Wall Street Journal and Dow Jones Newswires. Here's a little bit more about us, along with our contact information. We'd love to hear from you.
Dieter Holger, Reporter: I have a knack for uncovering values-based investing trends and I’m obsessed with spreadsheets and charts. I really enjoy ‘80s music, skateboarding and yoga (but I’m bad at both). dieter.holger@wsj.com @dieterholger
Maitane Sardon, Reporter: I have a passion for amplifying the voices of those at the center of stories. I love running on Barcelona’s beaches and binging on chocolate ice-cream to compensate (it’s all about balance). maitane.sardon@wsj.com @sardomaitane
Catherine Lindsay, Editor: I like breaking down complex ideas and explaining them. On the weekend, you’ll find me wandering the city with my film camera at the ready. catherine.lindsay@wsj.com @CathsLindsay
Tammy Lian, Designer: As a visual producer, I'm always excited by the challenge of creative problem solving. In my spare time, you can usually find me taking care of my ever-growing collection of plants and drinking tea. tammy.lian@wsj.com @violian.tammy