Inflation

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  #1  
Old 10-25-2021, 07:01 PM
retiredguy123 retiredguy123 is offline
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Default Inflation

The inflation rate is currently 5.39 percent. But, my money market fund, where I have 30 percent of my portfolio, is yielding 0.01 percent. So, I just moved 10 percent of it into my junk bond fund, which is only yielding 3 percent. My short term and intermediate term bond funds are yielding 0.6 and 1.5 percent. My only investment that has any chance to exceed inflation is my S&P stock index fund. I feel like the Federal Reserve is stealing money from me by keeping interest rates artificially low.
  #2  
Old 10-25-2021, 07:35 PM
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SO

Not a response.

My fav.

Current over 4%, I have basis earning over 10%.

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  #3  
Old 10-25-2021, 09:21 PM
DylanTodd DylanTodd is offline
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Quote:
Originally Posted by retiredguy123 View Post
The inflation rate is currently 5.39 percent. But, my money market fund, where I have 30 percent of my portfolio, is yielding 0.01 percent. So, I just moved 10 percent of it into my junk bond fund, which is only yielding 3 percent. My short term and intermediate term bond funds are yielding 0.6 and 1.5 percent. My only investment that has any chance to exceed inflation is my S&P stock index fund. I feel like the Federal Reserve is stealing money from me by keeping interest rates artificially low.
hmmm...sounds like you need crypto currency. If you want to hear more about the recently formed Villages crypto currency club email me at dtodd@earls.ca
  #4  
Old 10-25-2021, 09:40 PM
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Nuveen Preferred & Income Opportunities Fund. JPC Over 6%.
  #5  
Old 10-26-2021, 07:25 AM
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TIPS bonds?
  #6  
Old 10-26-2021, 08:25 AM
Stu from NYC Stu from NYC is offline
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Conservative mutual fund like a Value fund or Dividend Yield fund might work for you.
  #7  
Old 10-26-2021, 09:49 AM
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Keeping up with inflation is a tough one for those of us that have reached that point in life where we're enjoying the wealth that we've accumulated

there are some select 'widow and orphan' stocks that are paying north of 6- 7%....that might be an option for you to consider....check out AT&T
  #8  
Old 10-26-2021, 10:10 AM
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Originally Posted by davem4616 View Post
Keeping up with inflation is a tough one for those of us that have reached that point in life where we're enjoying the wealth that we've accumulated

there are some select 'widow and orphan' stocks that are paying north of 6- 7%....that might be an option for you to consider....check out AT&T
Just a reminder, AT&T will be cutting the dividend by about 50% when they spin off the media business.
  #9  
Old 10-26-2021, 12:41 PM
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I already have 35 percent in stocks. It's the other 65 percent that I think I should at least be able to at least keep up with inflation. I don't want to increase my stock percentage.
  #10  
Old 10-26-2021, 12:52 PM
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I already have 35 percent in stocks. It's the other 65 percent that I think I should at least be able to at least keep up with inflation. I don't want to increase my stock percentage.
SO
+50 years of dividend history.
Never missed.
Always increased.
Regulated monopoly industry "guaranteed profits" by regulators.
I include in my Bond %'age, not my stock portfolio.
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Old 10-26-2021, 01:02 PM
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I already have 35 percent in stocks. It's the other 65 percent that I think I should at least be able to at least keep up with inflation. I don't want to increase my stock percentage.
When you pay taxes on the interest you earn do not see how any sort of safe debt instrument will allow you to keep up with inflation
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Old 10-26-2021, 01:19 PM
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When you pay taxes on the interest you earn do not see how any sort of safe debt instrument will allow you to keep up with inflation
I agree, but, if the Federal Reserve would allow the market to control interest rates, you would at least have a chance. A money market account that pays 0.01 percent is absurd.
  #13  
Old 10-26-2021, 01:24 PM
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Originally Posted by dewilson58 View Post
SO
+50 years of dividend history.
Never missed.
Always increased.
Regulated monopoly industry "guaranteed profits" by regulators.
I include in my Bond %'age, not my stock portfolio.
It looks good. I may consider it, even though I have never bought an individual stock.
  #14  
Old 10-26-2021, 01:53 PM
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Default Another Option

I bonds for 11/1/21 to 5/1/22......expected return over 7%.
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Old 10-26-2021, 05:38 PM
JGVillages JGVillages is offline
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One example. Duke Energy. 10 year average stock return=9.87% excluding dividends. Last 10 years dividend has hovered around +&- 4% and is currently at 3.83%.
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