I bonds are a safe and easy way to save for the future and offset the negative impact of inflation over time.
Inflation is often referred to as a “silent thief.” And for good reason. If inflation is running at 3% per year and a person has $10,000 in savings, then after one year their savings will be worth $9,700 in terms of purchasing power. In other words, inflation has reduced the real value of their savings by 3%.
This can be a particular problem for people who are retired and relying on their savings to support themselves. I bonds are an effective way to help investors mitigate the negative impact of inflation over time.
This post appeared first on ETF Trends.