Inflation and Deflation

>>1233112
Get some property my dude. And give me some of your AUD pls.

File: housepricerentindex_australia_sep2012.png (19KB, 676x461px) Image search: [Google]

19KB, 676x461px

>>1233115
Property in AU is extremely overpriced at the moment. I don't really want to buy into it.

Jesus, the fact that someone uses 4chan and has a small fortune is weird to me, lol I got 3k worth of silver, a few hundred dollars worth of bitcoin, 9k in savings bonds, and basically 1000 cash. Then again I'm a broke student who lives with my parents.

>>1233150
Made a mobile game in my free time that went viral. I'm still a poor man at heart.

>>1233112
Why did you think deflation could be happening? Every major world currency has had its base expanded while growth has been low.

Your asset mix is dubious if seek wealth retention and very poor if you aim for growth.
If you seek retention:
>Reduce BTC/ETH, keep for some upside potential.
>Buy 10y Swiss/Dutch/German bonds or keep rotating T bills, buying bonds is essentially investing in the currency.
>If you do not want bonds, buy Swiss Francs, Euros. No reason to have that many aussie tokens.
>Maybe some stones in an upcoming area? Don't know the australian property market.
Growth:
>Liquidate gold and silver
>Reduce BTC/ETH
>Buy a truckload trackers(S&P/FTSE/DAX) and some nice, boring, high dividend stocks like Shell or whatever.
>Ratio cash/bonds:stocks/BTC/ETH according to your risk propensity.

Deflation really isn't going to happen, inflation might pick up though. In which case you want to hold anything but cash or bonds.

>>1233175
I'm looking for retention at the moment. I'm convinced there's a major recession around the corner, and want to prepare.

Worst case scenario is that i'm wrong and i miss out on a few years of growth.

I previously had the majority of that cash invested in my portfolio (stocks/bonds/etc), but pulled it out for reasons stated above.

>>1233175
Also;
>Why did you think deflation could be happening?

From what i've read, 'experts' in the field are saying that the upcoming crash will be deflation or inflation. Both are equally as possible/likely at this point.

>>1233187
Interesting experts, literally nobody I know actually believes this will happen. They see it as an boogeyman to be used when TARP/QE was needed.

>>1233187
it depends how people react.
if they save up and tighten the belt then it's deflation.
if they fear their money might become worthless and go on a shopping spree for assets and expensive items it's inflation.
inflation after a while becomes self powering spiral because of expectations and that's hyperinflation.

>>1233112
There is the currency war! you should probably get a grasp of it. The fact governments can print money seems AND fuck with gold oil and other things can change the effects of what constitutes inflation and defaltion I
think. I'm not saying this is a bad thing. its really hard to follow the older gudelines of when inflation or deflation will occur. especially for us plebs.

>>1233112
I have no idea how you can handle both at the same time

>>1233918
1 accumulate cash in case deflation happens
2 if prices go down start to acquire assets at low price
3 if inflation starts put all money into inflation resistant assets
4 sell these assets at an inflated price and buy stocks (which will be pressed to shits by then) before prices reach equilibrium