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> Nearly 40% of millionaires said they plan to make changes to their portfolio or have already made changes due to inflation, 44% said they have kept more money
by LewisVerstappen 4y ago
> Nearly 40% of millionaires said they plan to make changes to their portfolio or have already made changes due to inflation, 44% said they have kept more money in cash, and 41% say they have purchased more fixed-rate investments. Of those surveyed, 35% said they have purchased equities, and 31% said they have sold equities due to inflation and its impact on certain sectors and stocks.
In order to protect against inflation, 44% of "millionaires" said they kept more money in cash?
How does that make any sense?
- thesuperbigfrog 4y ago>> In order to protect against inflation, 44% of "millionaires" said they kept more money in cash? How does that make any sense? The market-based securities have been losing value faster than inflation devalues cash.
- IAmWorried 4y agoI think it's more so that they fear the fed can't stop inflation without causing a recession. So they are holding cash as they think there's still a lot more pain yet to come in the markets. If inflation is 10%, but equities decline by 40%, then you're better off holding cash than equities.