The Best investment during High Inflation periods

In a period of high inflation, the purchasing power decreases day by day.

 

So it is absolutely crucial to invest in something that is inflation-protected, while at the same time it must be something that allows you to make money during high inflation periods. Be aware that if you invested in bonds you expose your assets to the risk of being decimated in their value. While if you invest in shares you expose yourself to great losses because of their high volatility.

 

So we advise you to link yourself to stores of value, like real estate, which allows you to have both cash flow in the short term than having an asset that grows with the inflation rate.

 

If you are interested in knowing what’s the best Rental Property opportunity please contact me!

 

Luigi Foscale

What should I do if a Great Inflation occurs?

When you read the news and you see general price level rising like crazy, you realize a big Inflation is coming. And if you manage a portfolio then you certainly heard about "Inflation Risk Protection". You may also have noticed Inflation is always defined in negative terms.

 

Personally I prefer to shift my point of view and see it the positive way. In these times I ask myself "What type of investment is able to increase its value more than the inflation rate?"

 

If you ask yourself a question (What should I do if a Great Inflation occurs?), what for many is a reason to worry, for you might be a real opportunity. When you will read in the news that prices are rising, then you'll think your assets value is rising too. Automatically. 

 

So what's the best to invest in?

 

In products whose value increase more than the Inflation.

 

Rental Properties is one of the best.

 

Luigi Foscale

How Inflation works?

Some people forecasted a Great Inflation is coming.

 

Inflation is a rise in the general price level of goods and services. In order to understand the Inflation's magnitude, I suggest to make a comparison between the price of the same apartment in the early 70's with today's. The property whose price twenty years ago was of 60 million Liras, today might have an appraisal of more than a million Euro.

 

Cash loses value if you don't invest it in something that yields rewards. 

 

This phenomenon goes faster as much as the inflation rises. 

 

The higher is the value the faster prices will rise.

Luigi Foscale