3min chapter

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James Davolos: The Best Businesses To Own During Inflation

Value Hive Podcast

CHAPTER

The Biggest Investment Decision Mistakes People Make When Buying Tips

What are some of the biggest mistakes investors make when let's say that they think there's going to be a period of high inflation. What are what are some investment decision mistakes that a lot of people make maybe just because they don't know like on a granular level how inflation affects assets? I think today the the biggest issue is is tip so you can buy a US Treasury Treasury inflation protected security and basically what that does is pay you a coupon plus whatever CPI is on a rolling semi-annual basis. You're paying such a high premium for inflation protection that even if inflation worked to materialize you're going to get inflation for the 10 year minus 90 basis points.

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