Mika
VIP Contributor
When it comes to building your saving, you can do two things, save cash or buy assets. Saving cash means you keep hard cash in banks. Buying assets means buying valuable items with resell value, for instance, paintings, precious stones, precious metals, etc. While saving cash entirely may seem risky, completely avoiding it is also not wise. Inflation erodes the value of cash, however, assets also lose value when there is inflation. Aim for a balanced approach. Keep enough cash to cover emergencies (typically 3-6 months of expenses) and consider investing the rest in diverse assets, including real estate or stocks, to hedge against inflation. This strategy can build wealth over time.
