Warren Buffett (CEO of Berkshire Hathaway) is the master of value investing during periods of high inflation. So now in 2022, with U.S. inflation sitting at 8.6% and the country on the verge of a recession (thanks Federal Reserve), let’s explore Buffett’s 2 key lessons to profiting from inflation.
New Money Clips:
My Podcast:
If you’d like to try Sharesight, please use my referral link to support the channel! 😀
(remember you get 4 months free if you sign up to an annual subscription!)
★ ★ PROFITFUL ★ ★
Learn to Invest with Brandon van der Kolk (BUNDLE OFFER) ►
Learn to Master Your Tax Return (SPECIAL OFFER) ►
★ ★ CONTENTS ★ ★
0:00 Our Big Inflation Problem
1:19 Buffett Explains How To Invest During Inflation
2:37 Pricing Power
3:40 Mohnish Pabrai’s Tip To Beating Inflation
5:37 Investing In Yesterday’s Dollars
7:16 The Coca-Cola Example
8:06 Buffett Explains His Inflation Woes
8:59 Buffett’s Most Important Lesson
10:41 Sharesight
DISCLAIMER:
Neither New Money or Brandon van der Kolk are financial advisers. The information provided in this video is for general information only and should not be taken as professional advice. There are risks involved with stock market investing and consumers should not act upon the content or information found here without first seeking advice from an accountant, financial planner, lawyer or other professional. Consumers should always research companies individually and define a strategy before making decisions. Brandon van der Kolk and New Money are not liable for any loss incurred, arising from the use of, or reliance on, the information provided by this video.
Contact email: aussiewealthcreation@gmail.com
Note: I do not have the ability to answer all emails, but know that each email is read. If enquiring about sponsorship, New Money is currently only seeking sponsorship from establlished brands that do not deal in a financial product (as per Australian Law)….(read more)
LEARN ABOUT: Investing During Inflation
REVEALED: Best Investment During Inflation
HOW TO INVEST IN GOLD: Gold IRA Investing
HOW TO INVEST IN SILVER: Silver IRA Investing
"costco low prices" …. but, if costco raises prices, they stop having low prices …
How do we as investor not suffer?
You don’t suffer, the working poor suffer, investors as always will be fine
Well, Coca Cola is a business witch fits in this catagory but infact it did not well doring the 70s with high inflation. Berkshire Hathaway did not perform well in the 70s either. So why ask someone who is not good at navigating trough a inflation decade? You should focus an investing in commodities. commodities super cycle is ahed. Warren Buffet would never recommend that, bechause it has no cash flow but it will go up tremedously for sure.
The FED has lost it and the sad fact is, it's pretty obvious we are headed for hyperinflation. I think stores better have tight security because when people can't afford to feed their families, things might get ugly.
Owning real estate is best during periods of high inflation.
AMC was the first stock I ever bought. Didn't know a damn thing about stocks. Bought at $2.13 and then a month later it shot up because of the GameStop trend.
hotel business actually sucks during inflation, partly because there's reduced demand, but mainly because hotels run on very high cashflow, meaning they dont have a lot of cash on hand. same for airlines
Great video as always. Love it. Thanks!
Where can I watch Warren buffet videos please
Hello blogger, I think you are very popular and have been following you for a long time. I have a cooperation project here, how can I contact you? thanks
I'd also add it's not just about the profile of the business, but the price they are sold at. Some companies who do have upcoming capex may find the market is unduly bearish on them, meaning they could be a steal if investing based on much longer time horizons. All be it at a higher risk.
Wow! I haven’t watched your channel in over two years and it’s grown from about a few thousand subscribers to 600,000+ !
Congratulations. That’s up there with Jeremy.
My Wife and I are VERY worried about our future, gas and food prices rising daily. We’ve had our savings dwindle with the cost of living into the stratosphere, we are finding it impossible to replace them. We can get by, but we can’t seem to get ahead. My condolences to anyone retiring in this crisis, 40years nonstop just for a corrupt system to take all you worked for..
Insurance fits within Buffett's business' inflation-proof companies. Coke is at crazy prices – it's a myth they have pricing power.
Warren Buffet is correct. Anything over 20:1 P:E is a no go. You'll never make it back over inflation with regular market downturns. Fed needs to make the prime at least 5%. "Sin Stocks" ie Alcohol, Tabaco, etc… tend to be the most lucrative. But utility stocks (internet, energy, toll access companies) are the most stable.
Inflation wipes out the value of loans. As Long as you can pay the interest, inflation will work fine for a Company or home ovner.
I would add to the list two more. Necessity companies – Energy, Agriculture, Healthcare and Military and Deflationary tech – solutions that let us save money, drop prices instead of value adding or entertainment
Amazing Video, great content. One of my fav channel!
How? I'm new to cryptocurrency thing could you kindly walk me through how you did it?
My portfolio has grown tremendously all thanks to my trading manager for the help
This is the best time to invest in good stocks … Not in real-estate… Stocks just need 1% to 10% of the funds to buy property… Mortgage is always dangerous
Only people who sell property… advise to buy property … If stocks fall… so will real-estate… investing in property NEEDS HUGE sum…. You could loose your home AND the hat you paid for it… if your income stops.
The SAFEST PLACE during inflation is HomeSteading … grow your own food… India grows almost 100% of its own food that's why India CAN take a LOT of inflation.
Today Indian & American car refueling rates is EXACTLY SAME for the 1time in history… but Indians can take it much more than Americans.
So you didn’t tell us anything lol
It's a good time to be young and new to the market tho right? Lower market means more shares at a lower price. As long as you can wait it out, the market will eventually go back up right (at least in theory).
Price increases is not the same as inflation and Jeff Snider suggests (claims) that this isn't mainly inflation we see here in 2022 as far as the definition of inflation is a monetary question!
Useful content, thank you
Great video
The Capex point is the sad reality of the Australian property market. As long as you bought yesterday, inflation is good unless it stays for prolonged periods which causes interest rates to rise.
Great point with capex done in yesterdays cheap dollars, thanks a lot!
Buy gold old man u really miss the boat, all stocks will crash during this depression, can u speak Chinese. The professor
When the fed raises interest rates, it has no direct effect on mortgage rates for fixed rate mortgages. The interest rates for these mortgages are set by the index for the rate, usually the 10 year treasury note. If you're already a homeowner with a fixed rate mortgage, inflation helps you with your mortgage. Inflation will add value to your home, increase your wages while your principal and interest remain the same.