Sneaky Inflation

Sneaky Inflation
March 17, 2023 phillip_toews_1p9l0e9h

Inflation in a portfolio is sneaky. Eben Burr, CEO muses on last year’s loss in a 60/40 portfolio and real returns. If you look at a statement with one-year treasuries, you can see the balance increasing, but most people prefer to focus on the line going up rather than doing the simple math to get the real return. (1+NominalRate) ÷ (1+InflationRate)-1.