Wiser Wealth: Proactive Investments Options as a Hedge Against Inflation

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Inflation Investments

2021 marked a steep year for climbing inflation, causing many to reevaluate what to do to safeguard their financial future. Some are hopeful the current inflation rates will simply settle back down to what they were, but it never hurts to be proactive with your plans in case the current rates are here to stay.

Investing is a good way to protect your money, but not all investments are equal. Some say investing in gold is good for an inflation-proof option, but that also does not bring in new money for you.

For people looking for investments that are not only secure but also capable of earning, Christopher Robbins of Financial Advisor shares a few strategies from the experts that you should keep in mind.

While it is okay to experiment and think outside the box, Robbins first recommends to still stick with investments that have a solid performance record to them. When looking at prospective investment groups, do your research to see not only how long they have been around, but how they fared during other tumultuous financial times. How did they do during the recession?

Robbins also states that another good rule to follow is to only give consideration to a product if it is registered with the United States Securities and Exchange Commission. The SEC exists to prevent market manipulation, so a product effectively having the SEC’s stamp of approval is a good quality control measure to help protect you.

Fred Hubler, Chief Wealth Strategist for Creative Capital Wealth Management Group has been concerned about inflation since the fed started printing historically large amounts for money as a response to the pandemic. “We always liked hard assets like institutional real estate with recession-resistant tenants and with the current and future threat of inflation, that type of real estate still is a hedge against inflation while providing investors income and with no stock market risk”. 

“There aren’t many win/win choices in life, but adding alternative investments with that type of real estate profile is pretty close.”

Of course, Hubler continues, “some of these come with limited liquidity.”

“Luckily we found a private Real Estate Investment Trust (REIT) that has monthly liquidity and both our accredited and non-accredited investors (who can own it too) seem very happy to have that as a part of their portfolio.”

Lastly, while innovation is important, Robbins says you never want to be the first one to take a gamble on an unknown investment.

Everyone has fantasies about getting in on the ground floor of something huge, but the more likely reality is that you could stand to lose a lot based on an unproven variable. Whether it is a hot new product, or a stock you anticipate becoming huge, or whatever else, do not be the first to jump in. What looks like smooth sailing could really be a rough landing.

Nothing can guarantee you success in your investments, but proper precautions can help you see more reliable results.

To read more about why these strategies are important for your investment planning, read Financial Advisor’s article by clicking here.

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Fred Hubler Headshot

Want to know if you’re on the right path financially? Fred Hubler’s Second Opinion Service (SOS) is a no-obligation review with Creative Capital Wealth Management Group‘s Chief Wealth Strategist.

It’s simply not possible to get a reliable second opinion from the same person who gave you the first one. Click here to schedule an SOS meeting with Fred and his team.

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