I have saved some money that I would like to use in the next 1-3 years to start a company. In the meantime I would like to make sure that inflation does not eat up into my accumulated capital. I am fine with any configuration that just tracks inflation i.e. perfectly fine with 0% real returns if I can really lower my risk (not more than 5-10% real capital loss).
Given the current environment however I am a bit at a loss at how to achieve that. Two main risks I worry about are inflation and rising rates.
Cash - will get crushed by inflation Bonds - will get crushed by inflation && rising rates Stocks - might survive inflation but will get crushed by rising rates
Something like VTIP seems ideal, short term bonds that are inflation-protected. Avg. maturity is 2.7 years which will incur some capital loss under rising rates, but losses would be limited. A couple of questions:
Does this actually satisfy my constraint i.e. 0% real return in next 0-3 years with very minimal risk or am I missing something?
What are good EUR/GBP/JPY equivalents? I want some more currency exposure. IBCI is going in that direction, but the avg. weighted maturity is almost 9 years which I'm not comfortable with (significant capital loss for e.g. a 2% yield increase).
I have around 15% of my money in gold. Should I raise or lower this given the objective above?
Is there any way to get exposure to commodities in a simple way (e.g. not get USO crushed as so many retail investors got last year when they wanted to bet on oil).