In an important post for investors, a year ago, it was shown that
… your $200,000 ten years ago has been halved in terms of purchasing power. However, in terms of planning purposes, your anticipated retirement amount has been reduced by 75%. Given these outcomes, who will be able to retire? And for those already retired, how many will “unretire?”
All investors should read this post because it has important concepts regarding returns, inflation-adjusted returns and planning for retirement implications.
This summarizes well the current conundrum. Take no risk and you can’t retire because inflation devours your savings. So you invest in riskier investments, but easy fiat money creates real estate and stock market bubbles. So much of what passes as a conventional investment wisdom is not working today. Damned if you do, damned if you don’t. Almost the only thing left is gold and silver.