Food for thought

In a period when inflation is positive, say 3%, an investment return of 5% is equivalent to a 2% return after inflation.

However, when inflation is negative, say -3%, an investment return of 5% is equivalent to an 8% return in real terms.

We do keep this in mind when we develop our investment strategies.

I will be happy to speak to your investment group on how the business cycle impacts investment strategies and the choice of asset classes.

To find out more about my in depth view of the markets and my strategy just visit our website https://www.peterdag.com/. You can review The Peter Dag Portfolio, free of charge of course. You can also call me at 1-800-833-2782 to discuss your specific money management needs.

George Dagnino, PhD