Quote:
Originally Posted by redpoint5
Hmm, so if we assume high inflation for the next 5 years, it would hedge against it.
That said, my preferred hedge against inflation is fixed rate low interest debt (fixed rate mortgage).
Bonds aren't liquid enough for my taste, and historically underperform the stock market.
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If you bought I Bounds today you would be guaranteed to never lose or gain money compared to the CPI. They will pay that inflation rate. Not a place to put investment money. They would have been a very good place to put emergency fund money over the last year or so. Money that you need immediately and needs to be there regardless of the current market.
Savings bounds can be bought and sold instantly online.