How Do You Store Value to Offset Inflation?

[shanhaigamefi]

Hi everyone,

I've been thinking a lot about how to effectively store value, especially in ways that can offset the effects of inflation. With the rising concerns over inflation and the potential devaluation of traditional currencies, I'm curious about the strategies that others in this community are using.

Personally, I've been exploring a few options, including:

Cryptocurrencies、Precious Metals、Real Estate、Stocks and Bond、Commodities。
What about you? How are you managing your investments to combat inflation? Do you think Bitcoin and other cryptocurrencies are effective in this regard? I'd love to hear your thoughts and any strategies that have worked for you.

[avikz]

I will tell you what I am doing for my retirement, considering the value of money will depreciate over time due to inflation and other external factors.

My investment details:
1. Index Investing via ETF (10%)
2. Direct equity (10%)
3. Paper Gold (15%)
4. Crypto (2%)
5. Tax saving mutual funds (10%)
6. Hybrid mutual funds - both equity and debt (20%)
7. Mutual fund focused to defense/military sector (3%)
8. Insurance (10%)
9. Bank deposit for emergency liquidity (10%)
10. Real estate investment trust funds - REIT - Market listed (10%)

* All my mutual funds are growth based. So the dividends go back to investment
* REITs provide me with regular income. One payment each quarter and one final annual payment.
* I receive dividend income from the stocks I hold but I usually invest those back into the market
* I do not sell my cryptos and I am only accumulating Bitcoin and ETH. I don't invest in shitty crypto projects or in NFTs.
* I do have a mortgage for which I make monthly payment which is excluded from the above list. But it is also an investment for the future especially a metro project is nearing completion near my apartment.
* If I compare my returns, the defense focused mutual funds have given me triple digit returns besides crypto.

I am very confident that I will be able to beat the inflation with my investment.

[btc78]

Personally, I've been exploring a few options, including:

Cryptocurrencies、Precious Metals、Real Estate、Stocks and Bond、Commodities。

It’s good that you can consider different options. If you are capable then I would suggest to diversify your portfolio, no need to just choose one as each of your option has their own pros and cons.

What about you? How are you managing your investments to combat inflation? Do you think Bitcoin and other cryptocurrencies are effective in this regard? I'd love to hear your thoughts and any strategies that have worked for you.

Even though cryptocurrencies are risky and volatile, I still consider them one of the best options to combat inflation. I’d rather put my money into crypto than in a bank where it will just lose value over time. Meanwhile in crypto, with proper management not only can I keep my money but also earn from it.

[ancafe]

Personally, I've been exploring a few options, including:

Cryptocurrencies、Precious Metals、Real Estate、Stocks and Bond、Commodities。
What about you? How are you managing your investments to combat inflation? Do you think Bitcoin and other cryptocurrencies are effective in this regard? I'd love to hear your thoughts and any strategies that have worked for you.

The potential in gold, bitcoin and real estate is the right choice to maintain the value of the currency we own and these three investment models are also resistant to events that occur due to inflation or recession. I don't manage my investments as well as others because I currently don't have the ability to buy all three simultaneously, but I have taken steps to make percentage purchases of bitcoin in recent years. Not everyone has the same opportunities because we are talking about the capital we have and it must really be maximized.

If I had to choose by having good financial capabilities, I would divide the investment percentage into these three things because I think in the future this will be very important. But because I currently don't have the ability, I just focus more on collecting bitcoins and it has been proven that the value of the currency I own continues to increase in bitcoin assets.

[AVE5]

I don't know if the inflation you're talking about is of the events in the digital markets or global economy, but let's say it's in a general overview.
Investors would say diversification of investment is the key without considering the nature of the ventures which has the potentials to resist inflations nor deflations.
The truth is that if you're not entrepreneurly wise enough, you may engage on different dimensions of investments with one potentials of being inflation victims.
With my little knowledge considering that cryptocurrencies are volatile digital assets, which has the potentials of increase and decreases without the effectiveness of the global economy, I'd recommend it as one viable dimension we could store our values again inflation, Real estates such as the landed properties and also as Investing on educational institutes as schools because it'd always account you with steady incomes with a storage benefits of safe lended properties.

[Barikui1]

Hi everyone,

I've been thinking a lot about how to effectively store value, especially in ways that can offset the effects of inflation. With the rising concerns over inflation and the potential devaluation of traditional currencies, I'm curious about the strategies that others in this community are using.

Personally, I've been exploring a few options, including:

Cryptocurrencies、Precious Metals、Real Estate、Stocks and Bond、Commodities。
What about you? How are you managing your investments to combat inflation? Do you think Bitcoin and other cryptocurrencies are effective in this regard? I'd love to hear your thoughts and any strategies that have worked for you.

You are not actually far from the truth guy, their are so many ways of saving your money so that inflation wouldn't eat it up, because inflation is a principal enemy that reduced the value of any money being saved up, so the best way to store your valuables , to offset inflation is to save it in anything that appreciate in value overtime, something like gold, Bitcoin, land, real estate and diamond.

And I also want to correct the impression you made by your post here, when talking of storing your money in cryptocurrency, it can be a good idea, but it can also be a bad  idea, so it would be best that you are specific,  because if you are talking of holding your money in Bitcoin then it's very good, but if you are holding your money in other cryptocurrency, then I think it's wrong, because aside Bitcoin, all other alt and shit coin are just nonsense and measures put in place by most developer to milk investors of their hard earned money, so be specific and don't generalize it.

[Stablexcoin]

I don't know if the inflation you're talking about is of the events in the digital markets or global economy, but let's say it's in a general overview.
Investors would say diversification of investment is the key without considering the nature of the ventures which has the potentials to resist inflations nor deflations.
The truth is that if you're not entrepreneurly wise enough, you may engage on different dimensions of investments with one potentials of being inflation victims.
With my little knowledge considering that cryptocurrencies are volatile digital assets, which has the potentials of increase and decreases without the effectiveness of the global economy, I'd recommend it as one viable dimension we could store our values again inflation, Real estates such as the landed properties and also as Investing on educational institutes as schools because it'd always account you with steady incomes with a storage benefits of safe lended properties.

Luckily we have come to know about Bitcoin investment and I must confess that we have an opportunity to be in this system. However, I still insist that one must have good enough knowledge to manage an investment or business if not he won't be successful in the end. It doesn't matter if he/she has enough funds to put into them, such a person would continue losing funds and the investment or business will never grow. If we are to be financially ready to start an investment or a business we need to be physically and spiritually ready as well. This is because it takes a lot of discipline, and knowledge regarding such investment/business, dedication, and maintaining principles.

[Die_empty]

Personally, I've been exploring a few options, including:

Cryptocurrencies、Precious Metals、Real Estate、Stocks and Bond、Commodities。
What about you? How are you managing your investments to combat inflation? Do you think Bitcoin and other cryptocurrencies are effective in this regard? I'd love to hear your thoughts and any strategies that have worked for you.

I can't vouch for altcoins but Bitcoin is a perfect hedge against inflation. If you can keep Bitcoin for a long time you will be able to protect your investment against inflation. The profit you will make from hodling will be able to cover up the the effect of high cost of goods or depreciation of fiat currency caused by inflation.

Real estate would also be a good investment choice for me based on my country's socio-economic conditions. There has been an explosion in my country which has led to an increase in land and houses. Most lands appreciate more than 400% in four years. So buying houses or lands and selling them after a few years can be a viable protection against inflation. The only reason why I prefer investing in Bitcoin to real estate is because you can invest in Bitcoin with little funds while real estate needs large capital.   

[Fortify]

Hi everyone,

I've been thinking a lot about how to effectively store value, especially in ways that can offset the effects of inflation. With the rising concerns over inflation and the potential devaluation of traditional currencies, I'm curious about the strategies that others in this community are using.

Personally, I've been exploring a few options, including:

Cryptocurrencies、Precious Metals、Real Estate、Stocks and Bond、Commodities。
What about you? How are you managing your investments to combat inflation? Do you think Bitcoin and other cryptocurrencies are effective in this regard? I'd love to hear your thoughts and any strategies that have worked for you.

Inflation isn't some alien force, it is clearly identifiable within most companies and if you can figure out which ones have pricing power to push the cost over to the consumer - they are the ones to buy shares in. If you're talking about supermarkets, which have razor thin margins and cutt throat competition - they're not going to make much extra during these testing times. However if you look directly at certain food or supply chain manufacturers you might find they can keep up with or even beat inflation. That's how you can retain your spending power. You're taking a gamble, but I'd still say that cryptocurrencies and precious metals might be riskier propositions because they only pay out when you sell, but there's a possibility of dividends from companies.

[arallmuus]

What about you? How are you managing your investments to combat inflation? Do you think Bitcoin and other cryptocurrencies are effective in this regard?

given that the world inflation rate on average are lower than 10% on most years then yeah anything that gives you significant return over that amount should be consider as good investment. Bitcoin in general is pretty good but the volatility really makes most people avoid it thus relying on significantly other low volatility options such as S&P 500

In general, anything that gives you decent yearly return over the inflation rate as well as if its liquid then it should be good enough

[shinratensei_]

according to this site https://www.cfr.org/tracker/global-inflation-tracker the global inflation rate after the pandemic floats around 8.8% this means you just need capital gain of more than that to combat the inflation.
honestly if you are on the side that seek safety rather than massive capital gain, gold already suffice, did you know that gold from the start of this year up until now already having good growth of around 13.81% simply putting your moeny in gold already combats the inflation and you're set already, the only problem posed from investing in gold is the liquidity, but if you're on the side that seeks more capital gain just for the sake of accumulating wealth, you better off investing in cryptocurrency around bearish then wait until bullrun disregarding all the ups and downs in the process which in the other word holding for long term, had you invested in bitcoin when the price was still $20k, you are already making 3 times of your capital, seems a lot more lucrative and prospectful of an investment compared to gold, but it does carry some risk.

its always common sense that the greater risk there is, the more profit you can get, thats literally it, with gold you're settled from inflation, so if that what you seek honestly just go ahead with gold.
the bank deposits on the other hand right now is not really great, heck even apy of staking stablecoin isn't that great, mostly it only gives 3% - 5% which is just small pocket change for a year.
real estate on the other hand require massive capital to start with.

[Poker Player]

~snip

Interesting. Maybe too diversified for my taste but it is clear that you have a plan and that you are clear about what you are doing.

My case is more simplified.


1. Cash divided between a 3-month emergency fund and a sinking fund if I foresee making a large purchase in less than 5 years.

2. Bitcoin.

3. Retirement funds.

4. S&P 500 index fund.

5. A bit of physical gold.

With that I have beaten inflation and will continue to do so less with cash, but the cash I have is like insurance, which I know makes me lose money due to inflation but gives me security. And the rest of the investments offset what I can lose with cash.

[Sebas.tian]

Personally, I've been exploring a few options, including:

Cryptocurrencies、Precious Metals、Real Estate、Stocks and Bond、Commodities。
What about you? How are you managing your investments to combat inflation? Do you think Bitcoin and other cryptocurrencies are effective in this regard? I'd love to hear your thoughts and any strategies that have worked for you.

I think, you make a good choice which I know that those assets will be successful in future, because cryptocurrency assets is a good asset that allow investors to experience huge amount of income when bullish season arise in the market, and it has helped many investors to boost their income and it will definitely add value to your investment. Since the inflation is a temporary something, because our government is not resting base on the complain of the citizens which I know many real estate and other centralized assets in the country will bring out a good results that will make investors to celebrate again. Yes, Bitcoin and cryptocurrencies will be effective because this is the bearish season, which many investors are using to increase their Bitcoin and cryptocurrencies to be successful in future.

[Jawhead999]

It depends on where you live.

If you live in Turkey, Argentine or any other countries that suffering hyper inflation, investing in Bitcoin isn't even enough since using DCA strategy only bring 100% profit after 3-4 years while inflation rate in those countries can be higher than 50%.

Assuming that you live in low/normal inflation rate, investing in Bitcoin not only able to hedge against inflation, but it also make you to earn profit.

[franky1]

Cryptocurrencies、Precious Metals、Real Estate、Stocks and Bond、Commodities。

real estate
is not a good short-mid term store to beat inflation. because most people get real estate via mortgages
so even if a house is valued at say $200k. the mortgage payer is already in debt to a tune of owing closer to $300k just signing the mortgage agreement. and then there are other ongoing costs like state/council taxes, maintenance, insurances. just to remain legal owner of the home
real estate only really pays off many years later, if the urban area is actively engaging in aspirations of growth.. remember some towns turn into ghost towns of dilapidated property which brings down the entire value range of neighbouring property

bonds
are not a guarantee either. many have learned that with the silicon valley bank that held bonds of just ~1.8% even though treasury bonds were being created at over 3% which led to SVB having to sell their bonds at a further loss when they had to find cash, far lower then the ~1.8% bond. which caused them to go bankrupt
bonds are only good if you buy them at a yield that is higher than a nations inflation rate

stocks, cryptos, metals, commodity
the big secret is dont buy on the high.. buy low, sell high
if a stock, commodity, metal or crypto is on a seasonal high, dont buy. wait for the correction dip to buy

[philipma1957]

It depends on where you live.

If you live in Turkey, Argentine or any other countries that suffering hyper inflation, investing in Bitcoin isn't even enough since using DCA strategy only bring 100% profit after 3-4 years while inflation rate in those countries can be higher than 50%.

Assuming that you live in low/normal inflation rate, investing in Bitcoin not only able to hedge against inflation, but it also make you to earn profit.

Not sure about your math. But it is late and I am tired.

What are you basing Turkey or Argentines 50% rate of inflation the US dollar ?

[adaseb]

One thing you are forgetting is that there is no guarantee that gold or crypto or the nasdaq 100 will go up enough to keep up with inflation. It can trade sideways or worse go down.

There is something called TIPS, it stands for Treasury Inflation Protected Securitites and these are basically bonds but their coupon pays the CPI rate yearly. This way you don’t have to worry about investing in some stock which ends up losing 20% in a years time.

[reagansimms]

If the investment goal is to fight inflation, then Bitcoin, gold and Real Estate are the best choices, these three assets can be relied on to store value very effectively. I have no qualms about saving one of these three assets to prevent the value of the currency from being depleted due to inflation or recession, Financial limitations mean that I have to make a choice to choose one of them.
Bitcoin is one of the most profitable investments in the long term, even though there are various risks involved, they can still be overcome with knowledge, patience and maintaining a good level of wallet security.

[Abiky]

Hi everyone,

I've been thinking a lot about how to effectively store value, especially in ways that can offset the effects of inflation. With the rising concerns over inflation and the potential devaluation of traditional currencies, I'm curious about the strategies that others in this community are using.

Personally, I've been exploring a few options, including:

Cryptocurrencies、Precious Metals、Real Estate、Stocks and Bond、Commodities。
What about you? How are you managing your investments to combat inflation? Do you think Bitcoin and other cryptocurrencies are effective in this regard? I'd love to hear your thoughts and any strategies that have worked for you.

In my opinion, you're better off holding both crypto (particularly Bitcoin) and precious metals (especially Gold) than anything else. I don't trust stocks and bonds because they're heavily-affected by central banks' decisions. Besides, you don't actually own anything since your holdings are managed by a custodian. If you don't physically hold it, you don't own it.

Invest a portion of your money into BTC and Gold each week, and you'll be good to go. I've heard Silver is a good option, especially when it's undervalued. Gold went sky-high because of the on-going wars, with Silver experiencing small gains. But if it "explodes", the returns will be huge. I'm hoping it will go to $50 an ounce soon. Just remember to never invest what you can't afford to lose, and there should be nothing to worry about.

[zaim7413]

Each member has their own tastes and will choose different options depending on their abilities and skills in choosing where to invest to save value effectively from the impact of inflation. Cryptocurrencies, Precious Metals, Real Estate, Stocks and Bonds, Commodities are some good options to maintain the value of money from the impact of inflation, but you have to choose the best to invest which can provide big profits in the future. If I had the opportunity and financial ability I would choose Cryptocurrency (Bitcoin) and Precious Metals to protect the value of money from inflation, these two places to invest have been proven to be able to provide big profits because the prices continue to increase all the time.