TIPS Tips: Protect Your Retirement Savings From Inflation Now

TIPS Tips: Protect Your Retirement Savings From Inflation Now


It’s hard to find a more confusing “safe” investment than government bonds called TIPS, for Treasury Inflation-Protected Securities – and that includes taxes on these securities. But those who avoid them today could be making a mistake, especially if they’re nearing retirement.

No wonder investors are confused. TIPS claim to offer protection against inflation, but last year, when inflation soared, many holders of funds with longer-term TIPS experienced sharply negative returns. This is because TIPS, like other bonds, suffer when interest rates rise.

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With a penchant for words, Eleon Smith began writing at an early age. As editor-in-chief of his high school newspaper, he honed his skills telling impactful stories. Smith went on to study journalism at Columbia University, where he graduated top of his class. After interning at the New York Times, Smith landed a role as a news writer. Over the past decade, he has covered major events like presidential elections and natural disasters. His ability to craft compelling narratives that capture the human experience has earned him acclaim. Though writing is his passion, Eleon also enjoys hiking, cooking and reading historical fiction in his free time. With an eye for detail and knack for storytelling, he continues making his mark at the forefront of journalism.
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