Watch: Warren Buffett’s masterclass on how to prepare for inflation

As CEO of Berkshire Hathaway, Warren Buffett knows a thing or two about investing right. Several times in the past few decades, the legendary investor has been asked for investment advice to beat inflation. Each time, his answer boils down to a simple mantra: sharpen your skills and improve your own earning power to beat inflation.

At a time when inflation has hit the Indian economy hard, leading to skyrocketing prices of everyday commodities and squeezing household budgets, a video compilation of Buffett’s investment advice through the years is being widely circulated online.

A YouTube channel called Investing Wisdom compiled several instances of Warren Buffett being asked about inflation and investments into one video. This “masterclass” on the best approaches to deal with inflation was shared on Twitter by Gautam Baid, the founder of Stellar Wealth Partners.
“The best protection against inflation is to improve your own earning power, your own talents. Very few people maximize their talents,” the CEO of Berkshire Hathaway says at one point in the video, when asked about strategies to mitigate inflation in India.

“If you become more useful in your profession, that is the best protection against a currency that might decline at a rapid rate,” he said, repeating his oft-quoted mantra of upskilling and investing in yourself.

Warren Buffett added that the best investment anyone can make is in a good business. “The best investment, I think, is a good business,” he said. “If you own an interest in a good business, you are very likely to maintain purchasing power no matter what happens to the currency.”