Warren Buffett saw inflation coming early on — 8 tips to help you come out ahead
As prices soar, here’s how to lessen the impact on your wallet
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Rising prices and uncertainty about how long they’ll last are putting Americans in a bad mood.
Inflation was significantly worse than expected in October, with consumer prices soaring 6.2 per cent from a year ago. That inflation rate was the steepest in more than 30 years, with energy, housing, food and cars leading the way.
When prices began accelerating earlier this year, some experts, including the “Oracle of Omaha,” rang the alarm on surging prices.
“We are seeing substantial inflation,” Warren Buffett told attendees at his Berkshire Hathaway company’s annual shareholders meeting in May. “We are raising prices. People are raising prices to us, and it’s being accepted.”
Here are eight strategies to help you worry less about the impact on your finances — or even help you come out ahead — while inflation flares.
You can hold precious metals directly by purchasing coins or bars, or you can take a more hands-off approach and invest in exchange-traded funds, or ETFs, that include commodities in their holdings but trade like stocks.
One popular investing app can help you add gold or silver ETFs to your investments.
3. Capitalize on the scorching real estate market
Real estate has proven to be one of the most reliable long-term investment plays you can make. The U.S. housing market has been on a serious upward trajectory in recent years.
If you’re ready to buy your first home, or already own a house and want to trade up, compare mortgage offers to find your best rate. Mortgage rates are still historically low — the 5-year fixed is flirting with 2 per cent interest rates again.