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Wednesday, August 4, 2021

How much value of your money can you keep up with?

This is the dollar value in the past 74 years, declining 92% in the span. Or roughly it is 1.2% every year. 


When a central bank like the Federal Reserve is printing trillions of dollars of stimulus, and interest rates are being kept artificially low resulting in 10-year treasury yields materially lower than U.S. GDP growth, this is exactly what happens.

Do you think the trend will slow down or even turn around? Not a chance. If anything, the trend will only accelerate!! So if you heavily rely on cash-like saving to support your life, be aware of this toxic trend.

Solution? In addition to investing for the long term, especially dividend reinvestment, buying some commodities, gold/silver and bitcoin/cryptos will not be a bad idea😏

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