Category Archives: Investing in TIPS

Next up: Reopening of a 30-year TIPS on October 18, 2012

Posted on October 14, 2012 by Tipswatch

The U.S. Treasury on Thursday released its formal announcement of a reissue of CUSIP 912810QV3, which will mature on February 15, 2042, making this a 29-year 4-month TIPS. It has a coupon rate of 0.75%, but will likely auction on … Continue reading →

Posted in Investing in TIPS | 2 Comments

Are TIPS expensive? A look back into recent history …

Posted on September 23, 2012 by Tipswatch

A New York Times article with the headline ‘An Inflation Hedge Carries Its Own Risks‘ spells out why TIPS mutual funds appear to be overpriced, and possibly risky, after substantial gains. Some of its major points: Investors who placed bets … Continue reading →

Posted in Investing in TIPS | 12 Comments

10-year TIPS auctions at a record low -0.75%

Posted on September 20, 2012 by Tipswatch

The U.S. Treasury just announced that its reissue of a 10-year TIPS auctioned with a record-low yield to maturity of -0.75%. This is CUSIP 912828TE0, which will mature on July 15, 2022. The previous record low was for this same … Continue reading →

Posted in Investing in TIPS | 14 Comments

Are TIPS a good investment in 2012?

Posted on September 17, 2012 by Tipswatch

I get that question a lot. My quickest reaction is: ‘No.’ Treasury Inflation-Protected Securities were a really good investment back in 1999, when you could have bought a 30-year TIPS with a yield to maturity of 4.138% – that means … Continue reading →

Posted in I Bond, Inflation, Investing in TIPS | 15 Comments

‘Headline’ inflation rises a sharp 0.6% in August

Posted on September 14, 2012 by Tipswatch

As expected, U.S. inflation ticked up sharply in August, rising 0.6% because of higher energy prices. This was the first increase of any kind since March. Higher gas prices accounted for 80 percent of the increase. Food prices rose 0.2 … Continue reading →

Posted in Investing in TIPS | 3 Comments