As an investor, it is important to protect your portfolio from inflation. Here are a few ways...


How To Protect Yourself From                           

Inflation affects the stock market badly and no matter what happened the markets always recovered. So don't time the market and avoid panic investing.

  1. Avoid Panic Trade

The most straightforward strategy is to invest in commodities that tend to hold their value, no matter what the economy is doing.

  2. Hedge the inflation

Rebalancing and Asset allocation help your portfolio to reduce risk and losses. Focus on what am I invested in, the value of investments, and financial goals.

  3. Rebalance Portfolio

Gold is a good option when it comes to protection against inflation, not just because so many people flock to buy gold when inflation is high.

  4. Invest in Gold

Real estate investment trusts (REITs) generate most of their income from the rent paid on their properties. They tend to be profitable at times of high inflation.

  5. Invest In REITs

Take a look outside the stock market. Don't put all the eggs in the same basket - Invest in Savings Bonds, Real Estate, Private Equity Funds, and Venture Capital.

  6. Diversification

The S&P 500 index has returned a historic annualized average return of around 10.5% In the last 60 years. So don't worry about today's crash/fall and take it as a long-term.

  7. Long-Term Vision

Buying property and renting it out can be a good way to beat inflation. Because, as inflation rises, so do property values, and so the landlord can charge high for rent.

  8. Real Estate Income

With a higher number of units acquired during low-market investments, the returns generally become higher for SIP investors compared to lump sum investors.

  9. SIP is the King

And last but not least you have to create new income sources to protect your portfolio and manage expenses. This is the best thing you can do against high Inflation. 

  10. New Income Streams

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