Episode #1106
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Inflation is eating away your net worth, and if you don’t do something about it, you could be worse off in the future. What’s the best inflation-proof investment to make in 2025? Which options will merely hedge against inflation, and which will beat inflation so you grow your wealth while prices are going up? With new tariffs potentially flaring up inflation again, every investor should be paying careful attention to this.
Dave did the math to find four inflation-proof investments that perform best over time. He even discovered how one of the most common “inflation hedges” could cost you real wealth over time and why buying a house in cash to save on interest could be the wrong move. If inflation is about to take away your spending power, where’s the best place to put your money?
Dave compared not only the nominal (non-inflation-adjusted), but also the real (inflation-adjusted) returns to ensure each of these assets is actually getting you a REAL return. Should you move your money into bonds, high-yield savings accounts, stocks, or stick to real estate? We’re sharing the analysis today.
FRED® Graphs Federal Reserve Bank of St. Louis. 2022. All rights reserved. All FRED® Graphs appear courtesy of Federal Reserve Bank of St. Louis.
00:00 Intro
01:53 Inflation Causes Explained
06:56 Inflation Is Affecting YOU
09:29 Is Real Estate Inflation-Proof?
10:48 1. Home Prices
12:16 2. Rent Prices
15:19 Inflation-Proof Real Estate Investing
19:29 High-Yield Savings/Money Market Accounts
23:24 Bonds
25:40 Stocks and Equities
28:23 Gold
29:16 Best Options for 2025