Inflation is a situation in which the prices of goods and services increase over time. It is a natural consequence of a growing economy, and it means that the dollar you have today will buy you fewer goods and services in the future.
The best way to counter this is with inflation-protected investments—that is, investments that maintain their value as inflation rates change. For example, if you put your money into something like a high-yield savings account or a bond, the value of your investment will decrease as inflation increases.
The best investment for fighting inflation is almost always a market-based investment like stocks or real estate. If you find yourself in a situation where you want to counter inflation, investing your money is the way to go. Inflation is a situation in which the prices of goods and services increase over time. It is a natural consequence of a growing economy, and it means that the dollar you have today will buy you fewer goods and services in the future. The best way to counter this is with inflation-protected investments—that is, investments that maintain their value as inflation rates change.