For months, Team Biden and the Fed have argued that inflation is “transitory.”
But they now have egg on their faces.
Bureau of Labor Statistics figures out last week reveal that the Consumer Price Index, the government’s main inflation gauge, is up 6.2% from October 2020.
That’s the highest yearly jump since 1990.
That was back when George H.W. Bush was in the White House… the first season of Seinfeld was airing on NBC… and Michael Bolton was topping the charts.
We’re in different times now.
We have the COVID-19-related mess in the global supply chain to thank for the latest surge of inflation. There’s also unprecedented government and central bank stimulus.
But our focus at the Cut isn’t on what’s causing inflation. It’s on how you can protect your wealth from it… and even profit through it.
All year, we’ve been showing you how to beat inflation with a range of different strategies. And it’s paid off.
I don’t mean beat inflation by a bit. As you’ll see today, our analysts have been giving their paid-up readers the chance to beat inflation by hundreds… even thousands… of percent.
Legacy Research is the publisher behind Teeka Tiwari, Jeff Brown, Dave Forest, Jason Bodner, Mike “Zappy” Zapolin, and Greg Wilson.
Or mission at the Cut is to make sure you never miss one of their big moneymaking… or wealth-protection… ideas.
And right now, beating rising inflation is front and center on our radar.
That’s because the only investment returns that matter are your returns after you factor in the inflation rate.
Right now, that hurdle is 6.2%. In terms of buying power, anything less means you’re getting poorer each year.
That means cash is a liability.
The current average interest rate U.S. banks are paying on certificates of deposit (CDs) is 0.3%.
At that rate, the buying power of your dollar savings will shrink by 5.9% each year.
Bonds are only marginally better.
Different bonds carry different yields. But today, the benchmark 10-year U.S. Treasury note yields just 1.5%.
So in “real,” or inflation-adjusted terms, your buying power will shrink by 4.7% each year you hold that bond.
That may seem like a small loss. But at that rate, it takes a little over 15 years to cut the buying power of your savings in half.
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That’s the bad news. The good news is there’s never been a better time for you to make money in the markets.
That’s especially true if you’re following the recommendations we make in our paid advisories at Legacy.
A hard asset is an asset that’s hard to produce more of relative to its existing supply.
Neither the government nor central banks can ramp up its supply and dilute its value. That makes hard assets natural inflation hedges.
That’s why investors tend to flock to metals and other commodities when inflation is running high. Mother Nature has ensured these resources are in short supply.
Dave is a trained geologist, natural resource hunter, and mining financier.
And this year, at our International Speculator advisory, he’s been hitting it out of the park with shares in mining companies and junior minerals explorers.
In January, he closed out a gain of 104% on rare-earth-metals miner Lynas Rare Earths (LYSDY). He closed out a gain of 187% on prospect generator Azimut Exploration (AZMTF). And he closed out a gain of 326% on gold miner Pure Gold Mining (LRTNF).
Then in March, he closed out a gain of 85% on uranium miner Blue Sky Uranium (BKUCF).
And he was only getting started…
In May, he recommended his readers sell shares in Ivanhoe Mines (IVPAF) for a gain of 247%.
And in June, he closed out another two triple-digit winners in the model portfolio. The first was gold miner Atlantic Gold (AGB-V) for a gain of 215%. The second was Jervois Mining (JRVMF) for a gain of 241%.
That’s an average nominal gain of 200%. At that rate of return, you don’t need to worry about an inflation hurdle of 6.2%. You’ll vault right over it.
Most folks have never heard of warrants.
As I showed you here, ultra-high-net-worth investors like Warren Buffett and Carl Icahn typically use them to speculate on rising stock prices.
But last month, Dave went public with a special briefing all about how everyday investors can use warrants to force massive returns out of stocks.
And he opened up subscriptions to our elite warrants-trading advisory, Strategic Trader.
Its mission is to target winners of 1,000%… and up… using these little-known speculations.
On October 21, he recommended they buy warrants issued by electric vehicle (EV) charging company EVgo (EVGO) as a way to play the EV revolution.
A couple weeks later, Congress passed President Biden’s $1.2 trillion infrastructure bill, which included money for the EV buildout. And EVgo warrants took off.
By last Thursday – when Dave recommended his readers take some profits on their position – the warrants were already up 329%.
Not bad for a four-week trade.
And it’s not the only inflation-beating win on warrants in the model portfolio.
The biggest gainer is a warrants trade on a specialized truck and heavy equipment provider called Custom Truck One Source (CTOS).
Since Dave recommended them, these warrants are up 1,932%.
Although I am extremely proud of the gains we’ve helped our readers achieve.
I’m bringing these wins to your attention to show some ways you can grow your wealth – even with inflation running hot.
Of course, you should never put your entire portfolio into junior mining stocks and warrants.
As I keep repeating in these pages, it’s critical you own these more speculative investments as part of a diversified portfolio.
But that’ll still allow you to handily clear the inflation hurdle.
As I mentioned, Dave gave his readers the chance to close out an average gain of 200% on junior mining and minerals exploration stocks this year.
If you set aside 10% of your portfolio for these speculations, that works out to an overall gain of 20%.
This Wednesday, we’re lifting the lid on our newest advisory, Day One Investor.
Silicon Valley insider and veteran early-stage tech investor Jeff Brown will head it up.
It’ll focus on what could be the most lucrative investing strategy of all – buying early-stage tech stocks before they go public.
As just one example, investors in Uber (UBER)’s seed round would have turned a $100 investment into $496,500. And $500 would have grown into $2.5 million.
That’s the kind of transformational wealth possible with these kinds of offerings.
It’s not…
That’s why Jeff will be guiding his readers through the process using his 20-plus years of experience as an early-stage tech investor.
He’s personally invested in more than 270 of these deals… with gains up into the thousands of percent.
The best part about his new advisory is it will be open to anyone.
You don’t need to be an accredited investor. And you don’t need to be rich already. You can get going with as little as $100.
Like with early-stage investments in Uber, just a small investment can reap massive rewards.
I’m running out of space today to get into the details. But you can hear it all straight from Jeff at his Day One Summit.
It airs this Wednesday, November 17, at 8 p.m. ET. It’s completely free. And I don’t want you to miss out.
Because even if you don’t end up following Jeff’s early-stage tech recommendations, you’ll learn a ton about this lucrative investing niche.
So go here to save your spot. Then make sure to clear some time in your schedule to join Jeff on Wednesday evening.
Regards,
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Chris Lowe
November 15, 2021
Barcelona, Spain