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> it's appreciating much faster than inflation over its life I have no doubt that people who bought in early have beat inflation very well, but that doesn’t ma
by qgin 4y ago
> it's appreciating much faster than inflation over its life
I have no doubt that people who bought in early have beat inflation very well, but that doesn’t make it an inflation hedge. It doesn’t move inversely from inflation.
- mgamache 4y agoWhat would be an inflation hedge that isn't an asset that just goes up in value greater than inflation? FTA: "An inflation hedge is an investment that is considered to protect the decreased purchasing power of a currency that results from the loss of its value due to rising prices either macro-economically or due to inflation. It typically involves investing in an asset that is expected to maintain or increase its value over a specified period of time. Alternatively, the hedge could involve taking a higher position in assets, which may decrease in value less rapidly than the value of the currency." https://www.investopedia.com/terms/i/inflation-hedge.asp https://www.investopedia.com/terms/i/inflation-hedge.asp