Inflation, it is seemingly looming and investors everywhere are trying to protect against inflation. As the recession continues, the nation continues to print out money in hopes of paying off the deficit. This will eventually drive the value of the dollar down and inflation upward. There are ways to protect against this.
1.Look at investing into something called TIPS or Treasury Protected Securities. TIPS are adjusted to protect against inflation by using the Consumer Price Index (CPI), which signals the cost of living. This critical, protecting from prices raising faster than the interest on the investment.
2.get into I series saving bonds. The I series, like the TIPS were created to protect against inflation. They are compounded semiannually and come in $50, $100, $500, $1000, $5,000 and $10,000
3.3.Switch from individual stocks to ETF's. These are similar to stocks but are essentially a collection of stocks, bonds and other investment tools. They normally are based on one segment of the economy such as financial, commodities etc.
4.4. Gold, gold and more gold. Head straight for precious metals, because unlike paper money they have real value. Precious metal value is not based on government or the impressions investors may have of economy.
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