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WanderingPickles t1_je0ech4 wrote

Reply to comment by gaukonigshofen in Banks in France Face More Than $1.1 Billion Fines After Raids by 21Rep

Why?

These people were making/retaining money (by reducing tax exposure) via shady means. They didn’t lose money in the trading activity.

Putting cash in a mattress is a sure way of losing value. $100/€100 in 2005 is now worth $64.92/70.68.

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tretower424 t1_je0o4t6 wrote

Not to mention the amount you lose when the mice start snacking on it.

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RubusDragon t1_je1y0jb wrote

And that's almost "good" compared to the current situation. With inflation rates soaring near 10%, $100 in 20 years will be like $15 and that's assuming inflation doesn't get WORSE.

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gaukonigshofen t1_je0gx25 wrote

considering some people have bad luck with stock market, it might not be that bad

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WanderingPickles t1_je0iw01 wrote

There is always risk. However, sitting on physical cash is a bad idea. I googled the inflationary changes and those numbers are correct.

The least bad option is to park cash in a savings accounts. At least you get a fraction of inflation.

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GMN123 t1_je1zziz wrote

I think the lowest-risk long-term store of wealth, including inflation as a 'risk', is probably a global index fund or something similar. Cash is safe in nominal terms only.

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