Impact of Inflation on Your investments

Here are the approximate historical average annual returns for different investment types over a 10-year period, adjusted for inflation where applicable. Keep in mind that past performance does not guarantee future results, and actual returns may vary based on market conditions, economic cycles, and inflation rates. 1. Stocks (Equities) Nominal Returns: ~8% to 12% per year Real Returns (after adjusting for inflation): ~5% to 9% Explanation: Historically, the stock market (e.g., S&P 500) has provided solid long-term returns, often outpacing inflation. However, volatility can lead to short-term losses. 2. Bonds (Fixed Income) Nominal Returns: ~3% to 6% per year Real Returns: ~0% to 3% Explanation: High-quality government bonds (e.g., U.S. Treasuries) tend to provide lower but stable returns. Corporate bonds may yield slightly higher returns but with added risk. 3. Real Estate Nominal Return...