Investing / In the case of inflation and rising rates in 2022, are you investing differently?
Oct 11, 2021
In the case of inflation and rising rates in 2022, are you investing differently?
I hold a well-diversified portfolio of funds mostly of 80% equities (US and international) and 20% bonds. I do trade some stocks and that won't change. But for my main portfolio, I'm wondering what additional strategies I should be looking at to protect against inflation and rising rates and downside? I'm somewhere between moderate and aggressive when it comes to risk. Thinking I'm OK just leaving my investments as is but maybe I'm missing something I should look at too. Thanks for any thoughts you have on this.
Replies (6)
Oct 11, 2021
I'm looking into TIPS and some Etfs that offer some inflation protection.
Oct 11, 2021
I really can't say what you should do, but I'm staying put in my equity index funds because I know I'm not smart enough to beat the market. Most of us aren't and that's the beauty of index funds!
Oct 12, 2021
@Cooley Well said. If anything I'll add more VTI!
Oct 11, 2021
Commodities could be an option. They tend to hold their value well in uncertain times.
You may find this lesson relevant and helpful.
Click on it below and a new tab will open and take you directly to the lesson.
Investing in Commodities
8 min
Oct 15, 2021
agreeing with whitney974 - commodities are a well known inflation hedge. its sort of intuitive, as the cost of goods and services goes up this is going to impact to cost of commodities, additionally EM could be a hedge as they rely on commodities - that said, this time around thats uncertain bc of the volatility in China right now around regulation.