TIP

📎 Investment Objective

The iShares TIPS Bond ETF (TIP) seeks to track the investment results of an index composed of inflation-protected public obligations of the U.S. Treasury, commonly known as 'TIPS'.

✨ Key Features

• Exposure to U.S. Treasury Inflation-Protected Securities (TIPS)
• Seeks to provide a hedge against inflation
• Tracks the Bloomberg U.S. Treasury Inflation-Protected Securities (TIPS) Index
• Low expense ratio of 0.00%

⚠️ Primary Risks

• Interest rate risk: TIPS prices may decline when interest rates rise
• Inflation risk: If actual inflation is lower than expected, TIPS may underperform
• Credit risk: The risk that the U.S. government may not be able to make timely payments on its TIPS
• Liquidity risk: TIPS may have lower liquidity compared to other fixed income securities

👤 Best For

This ETF may be suitable for investors seeking to protect their portfolio from the effects of inflation, as part of a diversified fixed income allocation. It may be particularly useful for investors with a long-term investment horizon who want to maintain the purchasing power of their investments.