[ad_1] The US Bureau of Labor Statistics has reported the most recent inflation rate is at 8.6%. The problem is compounded by the Russian invasion of Ukraine, and a chain of supply shortages affecting everything from food to energy to computer chips. Meanwhile, the Federal Reserve is attempting to turn back the tide by increasing interest rates. The combination of rising inflation and interest rates is putting a serious squeeze on investment portfolios and household budgets across the nation. Dealing with rising prices at the budget level is an individual decision. But we’re here to offer some help with what we believe to be the five best investment hedges against inflation to help protect your portfolio. We’re going to go into each of the five in some detail, but the table below will give you a high-altitude view of each and the specific features that make it a good inflation hedge. Investment Hedge / Feature Minimum Investment Historic Inflation Protection Level Overall Risk Level Fees Where to Invest Gold & Gold ETFs Cost of one ETF share or small denomination bullion coin ($50 – $200) Good to excellent Moderate to high None for ETFs, 5% to 10% on bullion coins Bullion: online precious metals dealers; ETFs: E*TRADE, TD Ameritrade, and M1 Finance Energy & Commodities The cost of one ETF share Good to excellent Moderate to high None Investment brokers like E*TRADE, TD Ameritrade, Robinhood and M1 Finance Real Estate & REITs The cost of one ETF share, or $10 and up for real estate crowdfunding Good to excellent Moderate ETFs, none; real estate crowdfunding 2% – 3% Fundrise, Zacks Trade, E*TRADE, and TD Ameritrade Treasury Inflation Protected Securities (TIPS) $100 Good Low None Treasury Direct 60/40 Stock/Bond Portfolio Varies from $1 and up Poor, short-term; moderate, long-term Moderate None Robo-advisors: Betterment, M1 Finance; Investment brokers: Zacks Trade, E*TRADE, and TD Ameritrade Our Picks for 5 Best Investment Hedges Against Inflation Below is our list of the five best investment hedges against inflation: Gold & Gold ETFs: Best for High Inflation with General Instability Energy & Commodities: Best for Consumer Level Inflation (Food & Energy) Real Estate & REITs: Best for Long-term Inflation Protection Treasury Inflation-Protected Securities (TIPS): Best for Protection of Investment Principal 60/40 Stock/Bond Portfolio: Best for All-Weather Investing Now let’s do a deeper dive into each investment, to see both what’s involved with investing in each, as well as what each asset class does best in an inflationary environment. #ap13241-ww{padding-top:20px;position:relative;text-align:center;font-size:12px;font-family:Archivo, sans-serif}#ap13241-ww #ap13241-ww-indicator{text-align:right;color:#4a4a4a}#ap13241-ww #ap13241-ww-indicator-wrapper{display:inline-flex;align-items:center;justify-content:flex-end;margin-bottom:8px}#ap13241-ww #ap13241-ww-indicator-wrapper:hover #ap13241-ww-text{display:block}#ap13241-ww #ap13241-ww-indicator-wrapper:hover #ap13241-ww-label{display:none}#ap13241-ww #ap13241-ww-text{margin:auto 3px auto auto}#ap13241-ww #ap13241-ww-label{margin-left:4px;margin-right:3px}#ap13241-ww #ap13241-ww-icon{margin:auto;display:inline-block;width:16px;height:16px;min-width:16px;min-height:16px;cursor:pointer}#ap13241-ww #ap13241-ww-icon img{vertical-align:middle;width:16px;height:16px;min-width:16px;min-height:16px}#ap13241-ww #ap13241-ww-text-bottom{margin:5px}#ap13241-ww #ap13241-ww-text{display:none}#ap13241-ww #ap13241-ww-icon img{text-indent:-9999px;color:transparent} Ads by Money. We may be compensated if you click this ad.Ad #ap13241-w-map{max-width:600px;padding:20px 0 10px;margin:0 auto;text-align:center;font-family:”Lato”, Arial, Roboto, sans-serif}#ap13241-w-map #ap13241-w-map-title{color:#212529;font-size:18px;font-weight:700;line-height:27px}#ap13241-w-map #ap13241-w-map-subtitle{color:#9b9b9b;font-size:16px;font-style:italic;line-height:24px}#ap13241-w-map #ap13241-w-disclosure{margin-top:10px;font-size:12px;color:#9b9b9b}#ap13241-w-map #ap13241-w-map-map{max-width:98%;width:100%;height:0;padding-bottom:65%;margin-bottom:20px;position:relative}#ap13241-w-map #ap13241-w-map-map svg{position:absolute;left:0;top:0}#ap13241-w-map #ap13241-w-map-map svg path{fill:#e3efff;stroke:#9b9b9b;pointer-events:all;transition:fill 0.6s ease-in, stroke 0.6s ease-in, stroke-width 0.6s ease-in}#ap13241-w-map #ap13241-w-map-map svg path:hover{stroke:#1261C9;stroke-width:2px;stroke-linejoin:round;fill:#1261C9;cursor:pointer}#ap13241-w-map #ap13241-w-map-map svg g rect{fill:#e3efff;stroke:#9b9b9b;pointer-events:all;transition:fill 0.6s ease-in, stroke 0.6s ease-in, stroke-width 0.6s ease-in}#ap13241-w-map #ap13241-w-map-map svg g text{fill:#000;text-anchor:middle;font:10px Arial;transition:fill 0.6s ease-in}#ap13241-w-map #ap13241-w-map-map svg g .ap00646-w-map-state{display:none}#ap13241-w-map #ap13241-w-map-map svg g .ap00646-w-map-state rect{stroke:#1261C9;stroke-width:2px;stroke-linejoin:round;fill:#1261C9}#ap13241-w-map #ap13241-w-map-map svg g .ap00646-w-map-state text{fill:#fff;font:19px Arial;font-weight:bold}#ap13241-w-map #ap13241-w-map-map svg g:hover{cursor:pointer}#ap13241-w-map #ap13241-w-map-map svg g:hover rect{stroke:#1261C9;stroke-width:2px;stroke-linejoin:round;fill:#1261C9}#ap13241-w-map #ap13241-w-map-map svg g:hover text{fill:#fff}#ap13241-w-map #ap13241-w-map-map svg g:hover .ap00646-w-map-state{display:initial}#ap13241-w-map #ap13241-w-map-btn{padding:9px 41px;display:inline-block;color:#fff;font-size:16px;line-height:1.25;text-decoration:none;background-color:#1261c9;border-radius:2px}#ap13241-w-map #ap13241-w-map-btn:hover{color:#fff;background-color:#508fc9} Make sure your hard-earned money is protected with a Gold IRA Gold IRAs help you protect your investments by providing the asset diversification and stability you need. Click on your state to get started. HawaiiAlaskaFloridaSouth CarolinaGeorgiaAlabamaNorth CarolinaTennesseeRIRhode IslandCTConnecticutMAMassachusettsMaineNHNew HampshireVTVermontNew YorkNJNew JerseyDEDelawareMDMarylandWest VirginiaOhioMichiganArizonaNevadaUtahColoradoNew MexicoSouth DakotaIowaIndianaIllinoisMinnesotaWisconsinMissouriLouisianaVirginiaDCWashington DCIdahoCaliforniaNorth DakotaWashingtonOregonMontanaWyomingNebraskaKansasOklahomaPennsylvaniaKentuckyMississippiArkansasTexas Get Started 1. Gold and Gold ETFs: Best for High Inflation with General Instability Minimum Investment: Cost of one ETF share or small denomination bullion coin ($50 – $200) Historic Inflation Protection Level: Good to excellent Overall Risk Level: Moderate to high Fees: None for ETFs, 5% to 10% on bullion coins Where to Invest: Bullion: online precious metals dealers; ETFs: E*TRADE, TD Ameritrade, and M1 Finance Based on its outstanding performance during the inflation of the 1970s and the economic and financial turmoil during the 2008 Financial Meltdown, gold looks to be a hands-down winner against inflation. But it really depends on the level of inflation. During times of low, predictable price increases, gold can languish. But it performs especially well during times of high inflation. You can invest in gold even if you only have a little bit of money. For example, you can invest $100 in a gold ETF, or invest $1,000. or even less, in small denomination gold bullion coins, like ½ or 1/10 of an ounce coins. Pros: Physical asset with limited supply, and not dependent on another party’s promise to pay. Good track record in periods of high inflation and especially times of instability, since it’s seen as a hedge against uncertainty. You can invest either in physical metals or ETFs. Cons: Performs poorly during times of economic and price stability. High fees for physical metal. No cash flow – doesn’t pay interest or dividends. #ap31814-ww{padding-top:20px;position:relative;text-align:center;font-size:12px;font-family:Archivo, sans-serif}#ap31814-ww #ap31814-ww-indicator{text-align:right;color:#4a4a4a}#ap31814-ww #ap31814-ww-indicator-wrapper{display:inline-flex;align-items:center;justify-content:flex-end;margin-bottom:8px}#ap31814-ww #ap31814-ww-indicator-wrapper:hover #ap31814-ww-text{display:block}#ap31814-ww #ap31814-ww-indicator-wrapper:hover #ap31814-ww-label{display:none}#ap31814-ww #ap31814-ww-text{margin:auto 3px auto auto}#ap31814-ww #ap31814-ww-label{margin-left:4px;margin-right:3px}#ap31814-ww #ap31814-ww-icon{margin:auto;display:inline-block;width:16px;height:16px;min-width:16px;min-height:16px;cursor:pointer}#ap31814-ww #ap31814-ww-icon img{vertical-align:middle;width:16px;height:16px;min-width:16px;min-height:16px}#ap31814-ww #ap31814-ww-text-bottom{margin:5px}#ap31814-ww #ap31814-ww-text{display:none}#ap31814-ww #ap31814-ww-icon img{text-indent:-9999px;color:transparent} Ads by Money. We may be compensated if you click this ad.Ad #ap31814-w-text{padding:20px 0 10px;margin:0 auto;text-align:center;font-family:”Lato”, Arial, Roboto, sans-serif}#ap31814-w-text #ap31814-w-text-title{color:#212529;font-size:20px;font-weight:700;line-height:30px}#ap31814-w-text #ap31814-w-text-subtitle{color:#9b9b9b;font-size:16px;font-style:italic;line-height:24px}#ap31814-w-text #ap31814-w-disclosure{color:#9b9b9b;margin-top:10px;font-size:12px}#ap31814-w-text #ap31814-w-text-btn{margin-top:25px;padding:9px 13px;display:inline-block;color:#fff;font-size:16px;line-height:20px;text-decoration:none;background-color:#1261c9;border-radius:2px}#ap31814-w-text #ap31814-w-text-btn:hover{color:#fff;background-color:#508fc9} Worried about protecting your hard-earned financial assets? Gold IRAs help you protect your investments by providing the asset diversification and stability you need. Click below to start investing today! Invest in Gold 2. Energy and Commodities: Best for Consumer Level Inflation (Food & Energy) Minimum Investment: The cost of one ETF share Historic Inflation Protection Level: Good to excellent Overall Risk Level: Moderate to high Fees: None Where to Invest: Investment brokers like Robinhood, M1 Finance, E*TRADE, and TD Ameritrade There was a time when investing in energy and other commodities meant playing the commodities markets. No more. Even if you know nothing about commodities, you can invest in a portfolio of them through a diversified ETF. For example, the Invesco DB Commodity Index Tracking Fund (DBC) holds positions in energy, metals, and agricultural commodities. It’s returned more than 55% for the one year
