🌟🌟🌟With sticky inflation, I have invested in $SPDR Portfolio TIPS ETF(SPIP)$ which tracks a market value weighted index of inflation protected US Treasury Bonds with a remaining maturity of at least 1 year. It is less volatile than $iShares 20+ Year Treasury Bond ETF(TLT)$
The expense ratio is 0.12% which is less than TLT. Dividends are also paid monthly. The current dividend yield is 3.93%.
Performance wise SPIP is only down 0.9% in the past 5 days and is down 2% year todate. In contrast TLT is down 8.6% year todate. SPIP is down 5% in 2023 while TLT is down almost 16%.
I like SPIP because it is inflation hedged while TLT is not. At the last closing price of USD 25.19, it is a lot cheaper than TLT's closing price of USD 89.81.
Comments