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ETF for long term inflation indexed treasury securities


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Posted

Does anyone know of any ETF that can allow me to invest in US TIPS with maturity of 20 years or more?  I only found LTPZ but that one is 15 years.  Thank you.  

Posted
3 minutes ago, Dinar said:

Does anyone know of any ETF that can allow me to invest in US TIPS with maturity of 20 years or more?  I only found LTPZ but that one is 15 years.  Thank you.  

 

I believe that is the best you will find as an ETF and the duration is probably longer than 15 years - closer to 18.  If you need a longer TIPS bond maybe just buy the bond itself

Posted
7 minutes ago, gfp said:

 

I believe that is the best you will find as an ETF and the duration is probably longer than 15 years - closer to 18.  If you need a longer TIPS bond maybe just buy the bond itself

I was ideally looking for options on the ETF...

Posted
2 minutes ago, Dinar said:

I was ideally looking for options on the ETF...

 

LPTZ has options and this profile ->

image.png.775e06bcdb45bf17214be4062d351a19.png

Posted
2 hours ago, gfp said:

 

LPTZ has options and this profile ->

image.png.775e06bcdb45bf17214be4062d351a19.png

Thank you sir.  @Kizion, long.  I think TIPS at 2.6% real yield on 20-30 paper is interesting.  If and when real TIPS yield hit 3%, I will start buying calls on the them betting that real yields will decline.   At 4% real yield, I would have no problem having 20-40% of my portfolio in them (not call options, but actual underlying.)  Certainly 50%+ of retirement funds.  

Posted
10 hours ago, Dinar said:

Thank you sir.  @Kizion, long.  I think TIPS at 2.6% real yield on 20-30 paper is interesting.  If and when real TIPS yield hit 3%, I will start buying calls on the them betting that real yields will decline.   At 4% real yield, I would have no problem having 20-40% of my portfolio in them (not call options, but actual underlying.)  Certainly 50%+ of retirement funds.  

 

I think this is a long way of saying you will never end up taking a position in this.  If you think a 2.6% real yield is interesting and want to place a bet, the time to do that is now.  I highly doubt you are going to get an opportunity to put the trade on at 3%.

Posted
12 hours ago, gfp said:

 

I think this is a long way of saying you will never end up taking a position in this.  If you think a 2.6% real yield is interesting and want to place a bet, the time to do that is now.  I highly doubt you are going to get an opportunity to put the trade on at 3%.

 

I'm just an amateur, but I have to say I agree, this reminds me of the sentiment every time I start thinking about buying railroads. They always seem to bottom out about 5-10% higher than my target backup the truck price. I recently opened a position in CP under this premise...wasn't quite there but it seems to never hit the range I want. 

 

2.6% on TIPs does seem attractive for retirement accounts. 

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