avatarRichelle Délia, PhD

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Abstract

Dividend plays, value stocks, and other “safe” routes strip away real purchasing power.</p><p id="1a69">Alternative assets are the last place for investors to see meaningful growth or wealth preservation.</p><p id="37d6"><b>Real Estate</b></p><p id="a2aa">Real estate is the most historically proven asset class. Real estate is tangible and useful. Shelter is a basic human need for survival, so this equates to an investment that cannot be substituted or outsourced. As long as people live, they will need a place to live, eat, work, play, and a final resting place. These are all parcels of real estate.</p><p id="4e5b">The other unique aspect of this asset class is that the monthly income is a real-time measure of the economic environment and can adjust accordingly.</p><p id="3258"><b>Derivatives (Options, Futures)</b></p><p id="b339">The stock market returns, on average, between 2% and 6% annually. Some years it totally knocks it out of the park, like in 2020. But mostly, it delivers within that range.</p><p id="aa2b">Unfortunately, the real rate of inflatio

Options

n is 3–4% and governmental money printing devalues currency even further. If you earn typical stock market returns, you’re losing purchasing power.</p><p id="986a">To make up for it, investors need to seek higher yields. Higher yield investments require more specialized knowledge, but also have the potential for much higher returns.</p><p id="0998"><b>Precious Metals or Crypto</b></p><p id="6635">This is where the dreamer’s approach to investing comes in. A balanced portfolio has some portion allocated to growth, some allocated to value, and the rest towards wealth preservation.</p><p id="5ff1">To preserve wealth it has to be in a store of value. Currencies are managed by governments, but stores of value are inherently valuable. They are scarce, useful, and independent.</p><p id="9681">Both precious metals and cryptocurrency — namely, Bitcoin — serve this purpose.</p><figure id="e82f"><img src="https://cdn-images-1.readmedium.com/v2/resize:fit:800/1*mtrOzm3vpgKZixCLNSengA.png"><figcaption>Image captured by the author</figcaption></figure></article></body>

You’re Losing Money Every Day — Do This to Stop It

“Normal” investing is no longer enough

Photo by NeONBRAND on Unsplash

There are two kinds of investors: invest in what is versus invest in what ought to be. One is a dreamer, while the other is a pragmatist. As an individual, decide where is the best place to put your money.

Here’s the thing, the world is changing so quickly that if you aren’t aggressively seeking ways to exponentially grow your money, you’re losing. And losing big. Government debts are rising and money printing is at staggering heights. This means that every day your currency becomes less and less valuable.

Pragmatic investing can no longer cut it. Dividend plays, value stocks, and other “safe” routes strip away real purchasing power.

Alternative assets are the last place for investors to see meaningful growth or wealth preservation.

Real Estate

Real estate is the most historically proven asset class. Real estate is tangible and useful. Shelter is a basic human need for survival, so this equates to an investment that cannot be substituted or outsourced. As long as people live, they will need a place to live, eat, work, play, and a final resting place. These are all parcels of real estate.

The other unique aspect of this asset class is that the monthly income is a real-time measure of the economic environment and can adjust accordingly.

Derivatives (Options, Futures)

The stock market returns, on average, between 2% and 6% annually. Some years it totally knocks it out of the park, like in 2020. But mostly, it delivers within that range.

Unfortunately, the real rate of inflation is 3–4% and governmental money printing devalues currency even further. If you earn typical stock market returns, you’re losing purchasing power.

To make up for it, investors need to seek higher yields. Higher yield investments require more specialized knowledge, but also have the potential for much higher returns.

Precious Metals or Crypto

This is where the dreamer’s approach to investing comes in. A balanced portfolio has some portion allocated to growth, some allocated to value, and the rest towards wealth preservation.

To preserve wealth it has to be in a store of value. Currencies are managed by governments, but stores of value are inherently valuable. They are scarce, useful, and independent.

Both precious metals and cryptocurrency — namely, Bitcoin — serve this purpose.

Image captured by the author
Bitcoin
Personal Finance
Money
Investing
Stock Market
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