How To Profit From Huge Inflation Ahead (For Beginners)

Many investors are concerned about high inflation coming over the next couple of years (& for good reason). Let's go over the key methods to profit from inflation instead of lose...

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Inflation has been a big concern for a lot of investors, particularly recently. You know it’s been something that we haven’t had to worry about for the past 40 or so years. We’ve managed to maintain it around that 2% mark and that is perfect. But there are a range of investors like Ray Dalio, Charlie Munger & Michael Burry who are warning that inflation may be on the horizon.

Munger cautioned “at the end if you print too much money, you end up with something like Venezuela”, a country torn apart from inflation.
Michael Burry said “#History is not useless,” “This text explores the 1970s American #inflation, which is more relevant today than one might think.”
Dalio said “Now that the economy is rebounding inflation pressures are rebounding.”

So you’ve got not just these investors, but well known investors from around the world warning of inflation. You’ve also got a bunch of statistics, that point towards inflation being a problem in perhaps the not so distant future. I’ll show you these soon.

But the most important thing that we’re going to discuss is how you can actually profit from inflation. Because I’ll tell you this, a lot of people are going to get wiped out from what is to come. You need to know how to prepare…

So let’s take a look at some of these warning signals that we’re seeing.
First this is something that not enough people are talking about is the consequences of all this printing of money. So we had the pandemic and we had a lot of people who needed money. The government did what they pretty much had to do, and they backed in the trucks and shipped off a bunch of free money to the people.

They gave trillions of dollars to businesses that were struggling with their loans, struggling with emergencies and had the general need for cash.
They spent hundreds of billions with tax relief given to individuals who weren’t working. Hundreds of billions into medicine, and the same again for government needs.

But this money it came from somewhere. And basically what happened was money grew on trees and the federal reserve printed it. Created it out of nothing. And all of our problems were magically solved. If only that were the case, and if only printing money had no consequences.

But anyone who understands sound economic principles will know that this isn’t the case. One of the major problems that comes with printing trillions of dollars, is inflation. Because if you start handing out free money to people, demand for goods increases. They have more money to spend. And when demand increases, what happens to prices, they rise.

As Charlie Munger says if you kept this going you’re going to end up like Venezuela, which suffered from hyperinflation. But this is just 1 of the ingredients that is causing worrying signals of inflation. The other is the ageing world population…

As we can see back in the 1970’s, we had a lot more young people relative to retirees. USA in the 70’s there was more than double “young” people compared to retirees. Today it’s almost the same. UK similar story in the 70’s there were more young compared to retirees. Todays it’s switched to the opposite way round, more retirees than young.

If you keep going throughout the developed economic countries they tell a similar story. All of these strong economies are declining when it comes to the amount of the working age population. China instead of growing it’s slightly declining, developed countries same story, eastern Europe same story. The only one that isn’t is Africa, which is one of the poorest continents.

Now this decline is important because if you have less able bodies working, less supply, it means the amount you can produce is less. And it means the price for labor goes up. Now businesses who hire this labor, they transfer this cost on to consumers, aka they increase the prices of goods and services, aka inflation…

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DISCLAIMER: It's important to note that I am not a financial adviser and you should do your own research when picking stocks to invest in. This video was made for educational and entertainment purposes only. Consult your financial adviser. * Some of the links on this webpage are affiliate links. This means at no additional cost to you, we earn a commission if you click through and make a purchase and/or subscribe. This has no impact on my opinions, facts or style of video.

[Anvar]

"How to" starts at 5:00 . You are more than welcome! I just saved 5 minutes of your life!

[Patriciacraig]

Market is down still, I've been looking up strategies and apparently both bull and bear market condition provides equal avenue to accrue massive gains, and a news article particularly mentioned a 54 year old that made $180k in 5weeks, how do I learn these strategies, my portfolio has been stagnant for months.

[glenbert]

Times are weird. The US dollar is losing purchasing power due to inflation while strengthening against other currencies and assets. The stock market, real estate, crypto AND precious metals are down because people are fleeing to the "safety" of the dollar. where else can we put our investment money? I can't afford to see my savings of around $320, 000 turn to dust in front of my eyes

[christinasawyerr]

I will forever appreciate this channel, you've helped my family alot, your videos, advice, lessons and funny words are inspirational and helpful to us. My husband and I have been able to be minimal, conscious in spending, saving and investing wisely, I now earn every week. You're such a blessing to this generation. we all love you

[patriciacarlos]

A weak dollar can signal an economic downturn, making me to ponder on what are the best possible ways to hedge against inflation, and I've overheard people say inflation is a money-eater thus worried about my savings around $200k

[legacymedia]

My spouse and I are adding a variety of stocks/ETF to my present holdings for the long term, We've set aside $250k to start following inflation-indexed bonds and stocks of companies with solid cash flows, I believe it is a good time to capitalize on the market for long-term gains, but it wouldn't hurt to know means of actualizing short term profit.

[beltran]

Like a forest fire that wipes out the old trees to make room for new growth, bearish periods ultimately establish a new crop of stocks to buy and watch while setting the stage for a robust new uptrend.I have been reading articles of people that grossed profits up to $250k during this crash, what are the best stocks to buy now or put on a watchlist?

[mesutserim]

With inflation running at a four-decade high, a Recession is now the ‘most likely outcome for the economy. How can I grow my portfolio to outpace inflation and maintain a successful long-term strategy? I have been reading of investors making about $250k profit in this current crashing market, and I need ideas on how to achieve similar profits

[williamyejun]

It's hard to predict the future until we see this month’s inflation results. However, historical data consistently show that stocks tend to outperform bonds in the long term. Therefore, I'm staying in the market and focusing on selecting high-quality stocks. The challenge lies in identifying these stocks.

[jordanalbert]

*Hi everyone, I'm actually looking for a good trader that can help me trade and make profits, but is very hard to see a trusted one. Any idea🌈🚀*

[AllYouWantAndMore]

I'm only one minute thirty into your video and I think I figured out how to profit from inflation already. I'll just make stockvideo footage in the financial category and wait for you to buy it from me.

[kelseywhite]

Sadly this economic crisis means more inflation and more inflation affects the banking system. My condolences to anyone retiring this year..

[matilozano]

“Most of us haven’t experienced high levels of inflation”

Me, from Argentina: Bonjour

[vhawkins]

One thing that wasn't mentioned when looking for companies to invest in is that not only do they need to be able to quickly adjust their price, but they also need the prices of the materials to make their products not to rapidly increase.

[francodalegre]

real estate, gold, precious metals, goods and long term debt, advice of an argentinian... 😉

[nmitsopoulos]

I think that what Buffett meant about low capital businesses is that if a business wants to get more clients how much extra capital would be required. Coke would need to build plants and need more material to sell an extra million cans of coke. Google for example would need very little extra capital if they wanted an extra million users for their service.

[rickertcoles]

Despite the fact that stock prices fluctuate, what is the best method for capitalizing on the current market? I'm still undecided about investing $400k in my stock portfolio.

[plcmts]

@ 4:42 "We're not used to seeing our dollar become worth less and less." I LOL'ed

[avadhutpatil]

This the topic I was worried about for past few months, excited to see the video

[ismaelr]

You call 10% huge inflation, HAHAHA
cries in Argentinian*