TIPS securities provide an inflationary hedge
JB Investment Management’s Treasury Inflation-Protected “Real Return” (TIPS) strategy offers investors a way to ensure steady-state “real” return, irrespective of the inflationary environment.
In general, TIPS securities provide an inflationary hedge by linking the principal to inflation; adjusting the underlying amount in response to changes in the inflation rate, as well as a host of other economic and market influences.
JB Investment Management’s TIPS product is index-based, providing an index-matched exposure to this unique asset class. Consequently, our expected returns should mirror the TIPS Benchmark index returns, and with minimal tracking error.
JB Investment Management’s approach to TIPS investing provides clients with numerous advantages, including:
- Minimized tracking error
- Mitigated active management bias
- A complementary position, vis-à-vis our traditional Core fixed income approach
- Low management fees
In addition to or TIPS product, JB Investment Management also offers the following strategies: