One thing on everyone’s mind right now (investment wise at least 😂): inflation.
No one wants to pay double what they used to pay for gas or milk. But what can you do about it?
Well, I’m going to tell you three things you should do right now to fight inflation. Watch my video for all three — including:
- First, you could be losing 5%-6% of your money if you’re doing this.
- Second, where do you put that money?
- Third, invest in deflationary technology. And I’ll share my recommendations for that today.
Innovation is the way forward in America 2.0 and if you’re out, you may be left behind — stuck with inflation and missing out on big gains.
Don’t! Watch for three actions and start fighting inflation today:
If you talk to people today there’s just one thing on everyone’s mind. Not that. I’m talking about financial-wise, investment-wise. That is inflation. In this video, I want to tell you three things you should do right now to fight inflation.
Get Your Money Out Of Your Bank Accounts!
The first one is really obvious. My guess is a lot of people are already doing this. I read yesterday in the Wall Street Journal that the banks have lost something like $85 billion worth of deposits in the last few months or so. So that’s the first thing: Get your money out of banks.
That’s obvious. If you look at the interest rate on your savings account, it’s nothing. It’s negligible. I went and looked it up before making this video. The highest rate I could find was 0.8%. That means even before this current bout of inflation, you were getting -1.2 or -1.5 because the Federal Reserve and central bank policy is to have inflation of 2% every year.
If you are looking at what inflation is doing today at 4%, 5% or 6%, you are losing 5% or 6% by leaving your money in the bank. So that’s step number one: Get your money out of the bank.
Step number two, what do you do with that money? To me, the best place you can put your money as a long-term inflation — I don’t want to use the word hedge because this word is overused. People will come to troll me when I tell you what this is. I would buy Bitcoin.
That’s right, buy Bitcoin. Here’s why. Yes, I know Bitcoin is crazy volatile and people will say, “How can you possibly say that Bitcoin is an inflation hedge?” The thing is, Bitcoin has gone from zero to $40,000 in the last 13 years or so.
Despite the volatility, if you had bought and held on you would have made a ton of money. Here’s why I believe Bitcoin is an inflation hedge. Ultimately inflation is driven by people’s fear that money we are saving and storing up is going to buy less and less in the future.
What you tend to want to do if you are concerned or worried about inflation is to try to buy something that is scarce and finite. Some people talk about gold, but gold is a problem. What are you going to buy? A gold bar? It’s difficult. And gold in the stock market is not quite the same thing.
Gold represents a previous solution. It’s an old world solution when there’s a better one, which is Bitcoin. Some people talk about land, but you have to have a lot of money to buy land. Other people talk about scarce things like diamonds, collectibles, art, etc.
For the most part, these things are inaccessible to the vast majority of people. Bitcoin is finite. It’s definitively, mathematically finite. 21 million coins can ever be mined. 19 have been mined already. It’s something you can buy in any quantity. You don’t need $1 million to buy Bitcoin.
You can go onto CashApp or PayPal, your Robinhood or Coinbase account and just buy $1. You can buy $10. You could have $100. You have something that is very finite, something you can buy in any quantity. The other thing is something you can clearly see if you are reading the news.
As the world goes through inflation, because inflation is not just happening in the United States, it’s happening in India, Indonesia and Europe. People are looking at their own currencies and asking, ‘How much more can they issue of this? How much higher can inflation go? If I am saving in this currency, what will it buy me three years from now, five years from now, 10 years from now?”
Bitcoin is now a known global currency. Everyone understands it exists. They may not understand it exactly and, in my opinion, that’s not important. The critical points are the fact you know it’s finite, you know it’s not issued by any bank or government and its policy is set.
There are only two million more coins that can ever be made. People all over the world already know that and are buying it. I believe they are going to come and buy it in bigger and bigger quantity as they experience the inflation everyone is talking about.
That would be the second thing to do to fight inflation today.
Buy Stock Into Companies That Deflate The Inflation!
The third thing is a little controversial and I am probably going to get some push on this. It’s to buy into the stocks of companies that deflate inflation. What’s an example?
The best example is Tesla. Tesla makes electric vehicles and less known is they make a lot of energy-based products. For example, they have solar roofs, solar panels, a Powerwall, a Powerpack. It’s going to be a fairly large part of their company over time.
If you own Tesla you have something that has risen a great deal over the last one, two, three years. What they makes deflates the cost of gasoline. The cost of gasoline depending on where you live might be $3, $4, even $5. That means a lot of people exposed to high gasoline costs are starting to consider EVs.
Tesla is sold out for all of 2022. If you want a Tesla you are going to have to buy a used car from someone else or you are going to have to wait one year. That’s what I mean when I say Tesla deflates the inflation you are seeing at the pump. What used to cost $20 or $30 now costs $50 to fill up your tank.
There’s other companies like this. Many of them are across our portfolios and exposed to all kinds of things: housing, 3D printing, renewable energy, battery storage. Generally if you think about robotics or AI, the very nature of innovation, which is what we are all in on across the services I manage — you can check into the details if you are interested to know what they are — that nature is they deflate things that have risen a great deal.
So that would be my three-step plan for fighting inflation. Number one: Get your money out of the banks because those returns you are getting were already negative before and it’s now way more negative. The next thing is buying Bitcoin because it is finite, easily accessible and there’s no minimum.
The third thing you can do is buy into stocks of companies that deflate the inflation we are currently experiencing. I brought up the case of Tesla. If you are looking for an ETF that would give you broad exposure to a lot of these kinds of companies, you can buy the ARK Innovation ETF (ARKK) which has a lot of the companies we also own across our services.
As I mentioned, you can also check into our services. My flagship newsletter is called Profits Unlimited. It’s a multi-cap newsletter. We are all in on innovation that deflates inflation. Hope you liked it. If you did, subscribe, give us a thumbs up and come back next week.
Until then, this is Paul saying bye.
Editor, Profits Unlimited
Ever Wonder Why I Do What I Do? To find you profits with purpose and ways you can fight inflation by investing in deflationary technology? Or recommending the America 2.0 stocks that I believe will change the world and potentially be big winners in your portfolio? Watch this very special 17-minute video ❤️ for the answer.