Do you remember inflation? Do you remember when inflation was at 5%? Remember when it was in double digits? We’ve had exceptionally low inflation recently, but interest rates can’t stay at rock-bottom lows forever.
At some point, inflation will make a comeback.
As an investor, what do you do when inflation increases?
Are equities the best investment choice during inflationary periods of the market? Quite often, the answer is “no.”
How about bonds? Again – the answer is often “no.”
When inflation rears its head, alternative investments such as private equity funds, real estate investment trusts and commodities may help you diversify your portfolio and manage the effect of inflation on your invested assets.
Interest rates will rise someday, and inflation will return. As you invest, you’ve got to recognize its impact – and you should plan accordingly. Call me at 608-758-2222, or e-mail me at ckarl@chadkarl.com . Let’s talk about some ideas that may help you as inflation returns.
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