I once read that to get rich as an investor, you need to make a strong prediction and take a strong position.

 

Gold on a tear? Neighborhood about to pop? Bitcoin to a million? Whatever it is—push your chips to the middle.

 

Here's my prediction: inflation isn't going away. I'm no economist, but between the national debt and everything else happening, the writing's on the wall.

 

We all see our expenses going up, but remember, inflation works on assets too. But we don’t call it inflation, we call it appreciation.

 

My morning coffee going from $3 to $6? Annoying. Your house jumping from $3 million to $6 million? Life-changing.

 

The lesson most people miss: in an inflationary world, you have to own things. Own big things. Better yet, own them with borrowed money.

 

 

Forget prices "creeping up."

 

Think instead: everything doubles every 10-15 years. Each doubling equals all previous doublings combined.

 

That's exponential growth—slow at first, then suddenly you're staring at your old house listing wondering what universe you've stumbled into.

 

 

With $1 million cash, I can buy $1 million in gold. Or, with leverage (i.e. a loan), I use it as a down payment on a $4 million apartment building.

 

After one doubling: Gold becomes $2 million. The building becomes $8 million.

 

After two doublings (mortgage nearly paid off): Gold hits $4 million. Building hits $16 million.

 

Same inflation. 4x return versus 16x return.

 

 

"But if everything's inflating equally, how am I getting wealthier exactly?"

 

Again, the doubling works differently.

 

Your expenses inflate too, but they're smaller than your assets.

Start with $100k annual expenses and $1 million in assets - expenses are 10% of wealth.

 

After two doublings with proper leverage: $400k expenses, $12 million assets. Now expenses are 3% of wealth. The gap widens dramatically. 

 

Inflation hammers the working class and favors the owning class.