There’s an increasing worry about inflation amid the lower-for-longer interest rate environment. US Federal Reserve chairman Jerome Powell said recently that prices would rise this year as the virus slowly retreats. Even though he thinks the rise will be “neither particularly large nor persistent”, it’s an increase nonetheless. Inflation basically tracks the rise in the price of goods and services. The higher the inflation, the lower the amount of goods and services each dollar can purchase. Basically, as consumers, we are penalised by inflation. However, one way to hedge your money from the inflation monster is through investing in the stock market. For example, the stock market (with reference to the US’ S&P 500 index) historically has produced a total return of around 10% yearly since 1900. After adjusting for inflation, the return comes to about 7% annually. If you are into individual stock-picking, it will help to see if...