Ajay Ahuja Latest Blog post on Cash is Trash

So inflation is on the way.

Interest rates will be fixed at near zero for a fair while.

This means one thing:

CASH IS TRASH

I hope you know that cash is a really bad investment. It devalues over time unless you get an interest rate return which is greater than the inflation rate. You make the difference.

If however you have inflation at 5% and interest rate returns of 1% then expect your cash to devalue by 4% a year.

Cash held for 15 years on this basis will be worth, in real terms, only 54% of what is worth today – OUCH!

So whatever you do make sure you have any excess cash in SOMETHNING. That something, I would recommend, is property.

But I know property is not for everyone. There are other investments such as land, gold, wine, stocks and shares even fine art and antiques.

The good news also is that prices for alternative investments are at an all time low. Once finance comes back all these investments will rocket if they are securable for finance.

So for those who have bulging pockets of cash please bear in mind what I have said. If you want an investment I have come across which may lead you to riches please read some of my advice books.