Summary
- The term is too long. The risk is too high. The potential reward is too low.
- An inflation breakeven rate of about 1.72% will make this TIPS appealing for big-money investors, so this auction should get solid demand.
- But for small-scale investors looking for inflation protection, the Series I Savings Bond is a superior investment.
It’s big and ominous. It’s volatile. It’s actually kind of scary. And it might outlive you. This is CUSIP 912810SM1 — a 30-year Treasury Inflation-Protected Security being created by the U.S. Treasury this week.
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