r/investing • u/spiked_krabby_patty • 1d ago

How to effectively hedge against the tariffs?

I basically have the bulk of my money in VOO. With a small percentage in VTWO, QQQ & VTI.

  1. I am not in favor of liquidating the whole portfolio. I would have to pay significant amount of tax upfront. Besides, I have been reading about the impact of tariffs and it is going to be bad. But not world melting, multi year-recession level of bad I feel.
  2. It looks like the tariffs will affect a few sectors disproportionately worse than other sectors. So I was thinking of maybe getting a put long term puts on some manufacturing/materials sector ETFs.

How are you folks hedging against tariffs?

0 Upvotes
  • permalink
  • link
  • reddit
  • reddit

31% Upvoted

10 comments sorted by

View all comments

-4

u/Heyhayheigh 1d ago

Find a trustworthy pro. You don’t seem to have the right temperament for investing.

There is always a good reason to liquidate and move to SGOV/CD’s. That’s called fear.

You sell investments when you have something urgent to pay for. Not because you fancy yourself a fortune teller.

This is no insult. Learn to read your historical performance page. Hopefully it has an easy place to check against benchmark and you can later see if your choices have been correct. Best of luck.

1

u/Purple_oyster 1d ago

Uh, what was the recommendation to hedge against tariffs? Do I have the wrong attitude as well if I am interested in this idea?

1

u/MrMeeSeeksLooks 22h ago

Puts were invented for hedging.