π¨ INFLATION IS SILENTLY KILLING YOUR GAINS. πΈπ
A 7% nominal return sounds great on paper until inflation and taxes slice off 3-4%. If your cash is sitting on the sidelines or your yield isn't beating CPI, your real purchasing power is going backward every single year. πββοΈπ¨ How are you shielding your portfolio from purchasing power decay over the long haul? π’ Pricing Power Equities β Companies with wide moats that force cost increases onto consumers. π DRIP Engine β Aggressive dividend growth and auto-reinvestment to out-compound CPI. π’οΈ Hard Assets & Energy β Real infrastructure, commodities, and energy pipelines. π‘οΈ Short-Duration Yield β Rotating short-term debt and inflation-protected bonds as rates adjust.
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2 Comments
Catherine @ffcatherine Β· 2h
Beating inflation is the main reason I moved my $ from GICs to the stock market index funds .. Plus GICs the full % gain is added to your income vs many ETFs can have capital gains only taxed when the ETFs is sold (of course thereβs the dividendsβ¦ but still better tax rate than direct interest )
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