Investors have plenty to worry about nowadays, but the impact of inflation on the global economy appears to be at the top of the list.
Central banks around the world, including the U.S. Federal Reserve, have been hiking interest rates aggressively to stem price increases. As a result, many economists have warned that a recession could be around the corner.
Inflationary pressures create a huge challenge for investors who want to participate in the markets but see an uncertain future ahead. What happens if the Fed raises rates too much or too little? How do investors position themselves appropriately? One possibility is to adjust portfolio holdings based on Fed policy actions. Economic Index Associates (EIA) has partnered with Nasdaq to introduce the Nasdaq IFED US Large-Cap Index™ (IFED-L™), which allows investors to do just that.
Click here to download full article.