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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: bruwin who wrote (67036)	4/4/2021 3:58:33 PM
From: E_K_S	2 Recommendations Recommended By JohnyP petal Read Replies (1) \| Respond to of 78774

So how does a Value Investor hedge and/or participate in an inflationary environment? There Is Now A One-In-Three Chance Headline CPI Exceeds 3% Over The Next 5 Years I think one needs to own 'hard assets' that generate several different income streams. Some of my holdings include: 1) miners (both major and jr miners) that have gold, silver, copper, nickel as well as iron ore 2) REITs that own real estate (I like low leverage but even higher debt is not bad since that debt is paid off in cheaper $US) 3) hard assets in Timber & farm land resources (started to Buy LMNR and have owned BWEL) also hold some REIT timber companies 4) Utilities as they have pricing power to raise prices as inflation rises 5) TIPs (Treasury Inflation Protected Securities) - TIPS are indexed to inflation in order to protect investors from a decline in the purchasing power of their money. As inflation rises, TIPS adjust in price to maintain its real value. 6) Commodities; Corn, Soybeans, Wheat, Oil, - I started a Vanguard Fund at the beginning of this year that utilizes derivative contracts to mirror the price of a basket of commodities 7) Large Integrate Oil companies (30% of my commodity fund held Oil futures). A more direct way w/o derivative products is to own a basket of large integrated oil companies. Buffet recently started a position in CVX. ------------------------------------------------------------------------- There are many other investments that may/could do well in an inflationary environment. Would be interested to see other sectors and/or companies that might be good to include in the inflation value 'basket'. EKS