Need More Coupons - MyLivingMagazine.com
Inflation is Here to Stay For Now
Inflation is rearing its ugly head, and there is nothing you can do about it. It is time to buckle up and create a more defined budget. We have all seen the price increases at the grocery store and at the gas pump. The Federal Reserve used the term “transitory” to describe the current state of inflation. I am not buying this one bit. Inflation might not be permanent, but it is not going away anytime soon. Inflation is peaking its head because of Federal Reserve policy as well as pent up demand from Covid. The Federal Reserve has done zero to curb inflation, in fact they have not only instigated it, but they have also maintained a policy that will exacerbate it over the coming months and years. The sad part is they know the correct moves to slow it down, but they are afraid of the potential fallout in the financial markets as well as potentially causing a recession. Not utilizing any of the tools the Federal Reserve has at its disposal to slow this train down is negligent at best. Sitting on your hands and hoping it goes away is not a strategy. Most recently, the Federal Reserve went from using the term “transitory” to “frustrating.” It is frustrating to watch for the consumer because we are directly affected by the negligent action of our Federal Reserve. Unfortunately, we cannot do anything to curb inflation. However, we can adjust our spending habits and cut back if necessary.
Money Talks by Jay Chapman, CFP®
If you read any of the articles I write about investing, you know I always discuss having a strategy. Do you think Bill Belichick goes into a football game without having a defined strategy to win the game and take advantage of the other teams’ weaknesses? Nope. He studies film and creates plays designed to exploit the weaknesses of his opponent. We as consumers need to create our own strategy to get through the next few years of this. Have you already started cutting back on your spending? There are many things we can do to cut back. I know it is difficult to think about, but it is a suitable time to start. You can try to cut back on driving, this will save you money at the gas pump. You can look for sales at the grocery store and utilize coupons. This will save you on your grocery bill. You can also choose to invest your money wisely. Investing in stocks and real estate is wise during inflationary periods. These investment vehicles function as a hedge against inflation. For instance, you could invest in energy companies to offset to rise in oil and gas prices. Commodity prices rise during times of inflation, so investing in the companies tied to commodity prices will also act a hedge against inflation. We help our clients through these difficult periods by investing in companies that will grow profits during inflationary periods. Please feel free to call and schedule an appointment if you would like to start planning your strategy.
All the opinions expressed in this article are that of the authors and should not be considered financial advice for your individual portfolio. If you would like to learn more about this topic or have your complimentary portfolio reviewed please contact Jay Chapman, CFP® at Chapman
Capital Advisors
772-320-9658 or email Jay@ChapmanCapitalAdvisors.com
Charting a Course For Your Future
Which Investor Are You? ✓ A Smart Retiree who plans ahead? ✓ A Busy Professional with little time?
Work with a Certified Financial Planner™ Where Experienced Advice Meets Actionable Ideas!
THE ANCHOR TO A STABLE FINANCIAL FUTURE Call for a Complimentary Consultation Today!
772-320-9658
3727 SE Ocean Blvd., Suite 204, Stuart www.ChapmanCapitalAdvisors.com
60
VOL. 529 A
Copyrighted© My Living Magazines. 2021 All Rights reserved. To Advertise call 772-617-4960
