iShares $ TIPS

ETF description

The iShares $ TIPS ETF provides investors with exposure to U.S. Treasury Inflation‑Protected Securities (TIPS), which are government bonds designed to protect against inflation. By tracking the Bloomberg U.S. Treasury Inflation‑Protected Securities (TIPS) index, this ETF includes TIPS with maturities ranging from 1 to 30 years, which adjust their principal value based on changes in the Consumer Price index (CPI). The ETF aims to offer investors a hedge against inflation while providing a stable income and preserving purchasing power. It is ideal for investors looking to mitigate the impact of inflation on their investment portfolio with the added security of U.S. government backing.

Issuer details

iShares ETFs are issued and managed by BlackRock, the world’s largest asset management company.

With 800+ products globally and over $2trn in assets (as at June 2024), iShares ETFs are a flexible, low‑cost way for investors to gain exposure to various market segments, including fixed income, emerging markets and broad‑based indexes.

Index details

The US TIPS index offers targeted exposure to U.S. Treasury Inflation‑Protected Securities (TIPS), which are designed to provide investors with protection against inflation. This index includes TIPS whose principal and interest payments are adjusted based on changes in the U.S. Consumer Price index (CPI), ensuring that returns keep pace with inflation. By focusing on inflation‑protected government securities, this index aims to deliver stable income and preserve purchasing power in an inflationary environment. Its emphasis on TIPS makes it a valuable addition for portfolios seeking to hedge against inflation while maintaining exposure to U.S. government debt.