Ways to beat inflation

[Svnla]

Several reward checking accounts FTW. You can't put too much money into them (25-30K max per account) but it is much better (rate of return) than regular savings or CDs.

 

[Red Squirrel]

Best is to make that money make more money, such as starting a side business or something. Though if you don't want it to be too much work, a "high interest" savings account might be the only 100% secure way, and you'll need a decent chunk of money in there for it to really do anything.

Personally I would just buy GICs or something along those lines. Long term they are very secure.

 

[DaveSimmons]

I'm surprised there are so many answers given we don't know what the OP considers risky and what his time frame is. A long enough timeframe and an index stock fund is pretty safe. A short time frame or easy access to money will negate some of the other suggestions in the thread

I thought it was clear in the first post that 'e was looking for an alternative to CDs and savings accounts, so basically a risk tolerance of zero. i bonds / tips are the only alternatives I know of.

If you're willing to split up your money into tiny packets and keep moving it around, there are some "teaser" CDs and savings / checking accounts out there with fake teaser limited-time / limited money rates. A local bank was advertising 10% APY . . . . for the first $1,000 deposited. Basically just a teaser of $100 to move your money there. Gah.

 

[SphinxnihpS]

I've got money invested in index funds already , and I am talking about beating inflation with money NOT going into any risky investments, not even mutual funds. Of course I'm not taking advice from random people seriously. I just want ideas.

Arcadio, some of us have tried to tell you that what you want does not exist. When you find someone that tells you it does, RUN! That's the best financial advice you will ever get.

 

[DaveSimmons]

Arcadio, some of us have tried to tell you that what you want does not exist. When you find someone that tells you it does, RUN! That's the best financial advice you will ever get.

Exactly. Except for CD / savings teaser rates for small amounts and new accounts, there is nothing out there that's 100% safe but earning more than i bonds / TIPS.

If you want to earn more, you'll have to accept risk and pick something like a stock index mutual fund or ETF. Anything else is either a scam or comes with higher risk.

 

[Hugo Drax]

What are some safe ways to invest money just so that it can keep up with inflation? BTW, I'm talking about money that is meant to be kept safe. No risky investments.

Savings accounts and CD's are a joke.

You are SOL.

 

[Hugo Drax]

Housing, rental property in particular. Small homes, 1400 - 1800 sqft that rent quick. In many markets, in decent neighborhoods, they will rent for less than a 3 bed appt and mortgage right now will break even with rent.

/my 2 cents

NOT RISK FREE, he mentioned. I suspect he wants liquidity as well.

 

[Hugo Drax]

If OP is dumb enough to expect solid and well thought out financial advice from a bunch of random people, then use said advice without discussing with a professional or confidant....

Every finance thread here devolves into a debate about how much a person should keep in reserve as an emergency fund, so may as well keep it simple given the context.

He really should just talk to a fee based fiduciary RIA

 

[Kntx]

SPY 50%
SJNK 20%
ITE 15%
GMF 10%
GLD 5%

Sick portfolio. Rebalance to original weights every 6 months.

 

[CptObvious]

I think the answer's already been said multiple times...I-bonds or TIPS. Or an FDIC-insured online savings account for an emergency fund (won't keep up with inflation but is readily available).

 

[Blain]

What are some safe ways to invest money just so that it can keep up with inflation?

Are you asking about real inflation or the phony CPI inflation numbers?