Inflation, often referred to as the silent thief of wealth, has a profound impact on investment portfolios and purchasing power. As prices of goods and services rise over time, the value of money erodes, leading to a decrease in real returns on investments. In this blog post, we explore the effects of inflation on investment returns and purchasing power, and provide actionable strategies to hedge against inflation risks in investment portfolios.

Impact of Inflation on Purchasing Power:
Inflation diminishes the purchasing power of money, meaning that the same amount of currency buys fewer goods and services over time. For investors, this translates into a reduction in the real value of investment returns. For example, if inflation is 3% per year and your investment returns 5%, your real return is only 2% after accounting for inflation. Over the long term, inflation can erode wealth and undermine financial goals.

Strategies to Hedge Against Inflation Risks:
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