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Tom Meaglia, ChFC®, AEP®,

CLU®, CRPC®, MSFS

Chartered Financial Consultant

Investment Advisor Representative

Chartered Retirement Planning Counselor

CA Insurance Lic. #0567507

 

Meaglia Financial Consulting

2105 Foothill Blvd., #B140, La Verne, CA 91750

 

Toll Free: 800-386-3700

Bus:         909-593-6105

Cell:         818-681-8600

Fax:         909-593-6120

 

Email: tom@meagliafinancialconsulting.com

Website: www.meagliafinancialconsulting.com

November/December 2021

Countering Inflation

Inflation, growth of food sales, growth of market basket or consumer price index concept. Shopping basket with foods on arrow. 3d illustration

Inflation is an increase in the cost of goods and services you use every day. It can rob your money of its buying power. Investors who don’t take steps to cushion their portfolios against the long-term effects of inflation may find themselves without the savings they’ll need to live comfortably in retirement. Purchasing investments that offer a potential hedge against inflation may offer some protection.


Consider Stocks
Over the long term, stock investments have historically offered the best chance for outpacing inflation. However, some stocks perform better than others when inflation is on the horizon. Stocks of companies that produce consumer staples, such as household goods, food, beverages, and hygiene products, tend to do well during inflationary periods because these are items that people aren’t willing to give up. On the flip side, stocks of companies paying high dividends tend to lag behind when inflation is on the rise.


Many people choose to invest in mutual funds, which is convenient and requires fewer decisions than purchasing individual stocks. Mutual funds* provide diversified holdings instantly because investors’ money is invested in a wide variety of securities and has professional management.


Real Estate Investment Trusts (REITs)
REITs** are corporations that own and manage real estate. They invest in apartment buildings, hotels, medical facilities, offices, warehouses, retail outlets, and just about every other type of property. Investors receive income generated by the REIT’s portfolio.


Your financial professional can help you select investments for your portfolio that offer inflation protection.


*Investors should consider the fund’s investment objectives, risks, charges and expenses before investing. The fund’s prospectus, which can be obtained from your financial representative, contains this and other information about the fund. Read the prospectus carefully before you invest or send money. Shares, when redeemed, may be worth more or less than their original cost.

**REITs are subject to various risks such as illiquidity and property devaluations based on adverse economic and real estate market conditions and may not be suitable for all investors. A prospectus that discloses all risks, fees and expenses may be obtained from your financial representative. Read the prospectus carefully before investing. This is not a solicitation or offering which can only be made in conjunction with a copy of the prospectus.


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Thomas Meaglia is an Investment Adviser Representative of Coppell Advisory Solutions LLC, dba, Fusion Capital Management, a registered investment adviser that only conducts business in jurisdictions where it is properly registered, or is excluded or exempted from registration requirements. Registration as an investment adviser is not an endorsement of the firm by securities regulators and does not mean the adviser has achieved a specific level of skill or ability. The firm is not engaged in the practice of law or accounting.
Insurance and annuity products are not sold through Fusion Capital Management. Fusion does not endorse any annuity or insurance product, nor does it guarantee any insurance or annuity performance. Annuity and life insurance guarantees are subject to the claims-paying ability of the issuing insurance company. If you withdraw money from or surrender your contract within a certain time after investing, the insurance company may assess a surrender charge. Withdrawals may be subject to tax penalties and income taxes. Persons selling annuities and other insurance products receive compensation for these transactions. These commissions are separate and distinct from Fusion's investment advisory fees.
Meaglia Financial Consulting and LTM Marketing Specialists LLC are unrelated companies. This publication was prepared for the publication’s provider by LTM Client Marketing, an unrelated third party. Articles are not written or produced by the named representative.

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