How To Buy Treasury Inflation Protected Securities (TIPS)?

1 Answer

Answer :

One of the better choices for those investors seeking income for their portfolio is the government’s Treasury Inflation Protected Securities, otherwise known as TIPS. These securities seek to provide a rate of return that is indexed to the rate of inflation. If the inflation rate rises, the value of the TIPS goes up. If the inflation rate falls, so does the TIPS’s value. It’s a great way to protect the value of your investment from the effects of inflation.Auctions of new government securities take place no less frequently than every few months and this is the opportunity for the general public to purchase newly issued TIPS. There are a few different ways to add these securities to your own portfolio. The most straightforward way would be to buy them directly from the government. The gover

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