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And bonds are the only investment that everyone should have now

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According to personal finance expert Suce Orman, if there is one investment that everyone should have right now, it is a series of bonds.

The variable interest rate on bonds is based on inflation, which means that the asset currently has a high yield. The consumer price index has risen 8.6% in Maythe highest figure since 1981. In annual terms, the rate is I get in touch is a record 9.62% by October 2022.

“It’s a great investment,” said Orman, who began investing in bond I in 2001.

With the support of the US government, the bond does not lose value. Its variable rate is set every May and November. He also has a fixed rate currently at 0%.

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Before you start investing, here’s what the experts want to know

You can only purchase them directly on the U.S. Treasury Department website at TreasuryDirect.gov. Available amounts start at $ 25 and you can invest up to $ 10,000 each year though some exceptionsfor example, the ability to get up to $ 5,000 in paper I bonds as part of your federal tax return.

If you want to buy paper bonds instead of electronic ones, you can buy $ 50 to $ 1,000 a year.

You cannot cash a bond for one year, and if you cash one to five years, you will lose interest for the previous three months.

While it’s best to make a bond for five years or longer, if you don’t think you can do it, don’t let that stop you from buying, Orman said, leading. “Women and money“podcast.

A good bet in an era of inflation is if you can afford it

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