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Investor Gives Solid Advice on How to Properly Invest When Interest Rates Go Up

This is really helpful.

While interest rates are rising and everyone is panicking, you could be making smart investment moves and growing your wealth in the process.

Personal finance expert Humphrey Yang (@humphreytalks) posted a TikTok explaining the best ways to invest when interest rates go up. This can help you get ahead while everyone else freaks out.

The rise in interest rates doesn't have to be an end to your investment journey. It just means, as Yang explained, that your investment strategies are going to look different in the coming months. 

Yang explained that a rise in interest rate means that borrowing gets more expensive, affecting every type of investment, especially growth stocks and real estate. Those are the main markets folks are going to be avoiding. 

Yang says that the money from those investments will likely flow into bonds and high-yield savings accounts since they are currently paying higher returns.

Yang also advises paying off your credit cards as soon as possible since interest rates on those are also on the rise. 

"Dude, so helpful," fellow TikTok creator @workhap wrote in the comments section. "Worth mentioning that high-interest rate environments are best for insurance products like annuities and cash value life insurance," @ludakit added. 

No matter the state of the economy, it is always best to be prepared. You don't need to panic and pull all your investments. Follow accounts like Yang's and seek other forms of financial advice to figure out a strategy that will work for you.