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TIPS vs I Bonds: What's Better In 2023 | Treasury-Inflation-Protected Securities (TIPS 2023)


Treasury-Inflation Protected Securities - is now a good time to consider them as part of your portfolio? Here are the top 5 questions I'll be answering today about I-Bond vs TIPS: 1. Why TIPS (Treasury-Inflation-Protected Securities) might be a better investment than I-Bonds for some folks right now 2. What is real yield to maturity? 3. What is nominal yield to maturity? 4. Why (for others) I-Bonds may still be the inflation-protection winner 5. How to figure out whether I-Bonds or TIPS might work better for you TITLE: TIPS vs I Bonds: What's Better In 2023 | Treasury-Inflation-Protected Securities (TIPS 2023) 👉 Subscribe for all things inflation, Treasury bills, I-Bonds, investing & retirement! SOURCES #jenniferlammer #bonds #treasurybills ------- WATCH NEXT ⭐ What Are TIPS | How To Buy TIPS: ⭐ I-Bond Interest Formula: ⭐ Best CD 2023 | Earn 5% APY (How To Buy): ⭐ Brokered CDs vs T-Bills: _________ 🎯 GRAB YOUR COMPLIMENTARY FINANCIAL GUIDES & TEMPLATES! ________ DISCLAIMER EVERYONE'S FINANCIAL JOURNEY IS DIFFERENT. YOUR PERSONAL FINANCIAL SITUATION IS UNIQUE. NEITHER DIAMOND NESTEGG, LLC, OUR WEBSITE, OUR YOUTUBE CHANNEL, OUR OTHER SOCIAL MEDIA CHANNELS, NOR THIS CONTENT & INFORMATION (THE “SERVICE”) ARE INTENDED TO PROVIDE FINANCIAL, LEGAL, TAX OR OTHER ADVICE. NO FINANCIAL DECISIONS SHOULD BE MADE SOLELY BASED ON THE SERVICE. THE SERVICE IS PROVIDED FOR INFORMATIONAL & ENTERTAINMENT PURPOSES ONLY & IS NOT INTENDED TO BE A SUBSTITUTE FOR ADVICE FROM A PROFESSIONAL FINANCIAL ADVISER OR QUALIFIED EXPERT. ALL OPINIONS & FORWARD-LOOKING STATEMENTS OF THE SERVICE EXPRESSED HEREIN ARE AS OF THE DATE OF PUBLICATION & SUBJECT TO CHANGE. IT IS YOUR RESPONSIBILITY TO VERIFY ALL INFORMATION YOURSELF. ANY INFORMATION PRESENTED BY THE SERVICE IS NOT AN OFFER TO BUY OR SELL, NOR A SOLICITATION TO BUY OR SELL ANY SECURITIES OR PRODUCTS MENTIONED. DIFFERENT INVESTMENTS HAVE VARYING DEGREES OF RISK & THERE IS NO ASSURANCE THAT THEY WILL BE SUITABLE FOR YOUR PORTFOLIO. PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS. ALWAYS CONSULT A QUALIFIED FINANCIAL, LEGAL, OR TAX PROFESSIONAL REGARDING YOUR SPECIFIC SITUATION. DIAMOND NESTEGG, LLC IS A REGISTERED INVESTMENT ADVISER IN THE STATE OF NEW YORK AND OTHER STATES WHERE IT IS EXCLUDED OR EXEMPTED FROM REGISTRATION REQUIREMENTS. REGISTRATION AS AN INVESTMENT ADVISER DOES NOT CONSTITUTE AN ENDORSEMENT FROM SECURITIES REGULATORS. DIAMOND NESTEGG, LLC RECEIVES COMPENSATION FROM YOUTUBE FOR THE PRESENCE OF ADVERTISING BEFORE, AFTER, AND DURING THIS VIDEO CONTENT AS WELL AS VIA YOUTUBE’S SUPER THANKS FEATURE. DIAMOND NESTEGG, LLC DOES NOT CONTROL THE CONTENT OR PRESENCE OF ANY ADVERTISEMENTS. THE PRESENCE OF ANY ADVERTISEMENT DOES NOT CONSTITUTE AN ENDORSEMENT OF THE AD, COMPANY, ENTITY, OR PRODUCT BY DIAMOND NESTEGG, LLC. ---------- CONTENT DISCLAIMER THE VIEWS & OPINIONS EXPRESSED THROUGH THE SERVICE ARE SOLELY THOSE OF DIAMOND NESTEGG, UNLESS OTHERWISE SPECIFICALLY CITED. MATERIAL PRESENTED IS BELIEVED TO BE FROM RELIABLE SOURCES & NO REPRESENTATIONS ARE MADE BY DIAMOND NESTEGG AS TO OTHER PARTIES' INFORMATIONAL ACCURACY OR COMPLETENESS. ALL INFORMATION OR IDEAS PROVIDED SHOULD BE DISCUSSED IN DETAIL WITH A QUALIFIED ADVISER, TAX OR LEGAL PROFESSIONAL PRIOR TO IMPLEMENTATION. OUR YOUTUBE CHANNEL MAY PROVIDE LINKS TO THIRD-PARTY WEBSITES FOR YOUR CONVENIENCE. WE HAVE NO CONTROL OVER THE ACCURACY OR CONTENT OF THESE LINKS. THE COMMENTS ON THIS CHANNEL, AND OUR OTHER SOCIAL MEDIA CHANNELS, ARE THOSE OF THE CREATORS & DO NOT NECESSARILY REFLECT THE VIEWS & OPINIONS HELD BY DIAMOND NESTEGG, LLC. DUE TO THE SOCIAL NATURE OF THE SERVICE, THESE VIDEOS MAY CONTAIN CONTENT COPYRIGHTED BY ANOTHER PERSON OR ENTITY. DIAMOND NESTEGG, LLC CLAIMS NO COPYRIGHT TO SAID CONTENT & CANNOT BE HELD ACCOUNTABLE FOR THE COPYRIGHTED CONTENT. DIAMOND NESTEGG SHARES & STRIVES TO VERIFY INFORMATION BUT CANNOT WARRANT THE ACCURACY OF COPYRIGHTS OR COMPLETENESS OF THE INFORMATION ON OUR SERVICE. ANY COPYRIGHTED MATERIAL SHARED ON THIS SERVICE IS INTENDED TO BE SHARED BY FAIR USE. IF YOU HAVE A COMPLAINT ABOUT THE USE OF COPYRIGHTED MATERIAL, PLEASE CONTACT DIAMOND NESTEGG PRIOR TO MAKING A COPYRIGHT CLAIM. ANY INFRINGEMENT IS UNINTENTIONAL & WILL BE RECTIFIED TO ALL PARTIES' SATISFACTION. PLEASE REFER TO OUR TERMS OF SERVICE & PRIVACY POLICY LINKS FROM OUR WEBSITE FOR MORE INFORMATION....(read more)



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As an investor, it is essential to be well-informed about different financial instruments to make smart investment choices. Two of the most popular instruments that investors usually consider are Treasury-Inflation-Protected Securities (TIPS) and I Bonds. Both of these investment vehicles offer inflation protection, which is crucial considering the rising cost of living in today's world. In this article, we will discuss the pros and cons of each and help you determine which is better for 2023. What are TIPS? TIPS are a type of fixed-income security offered by the US government. They are similar to traditional bonds, but with a significant difference: their interest rates are adjusted to keep up with inflation. TIPS are designed to provide investors with a real (inflation-adjusted) return on their investments. When inflation rises, the principal (or face value) of the TIPS increases, and when inflation falls, the principal goes down. What are I Bonds? I Bonds are also issued by the US government and are inflation-protected securities designed to protect investors from inflation. The interest rate on I Bonds is a combination of a fixed and a variable rate. The fixed rate stays the same throughout the bond's life, while the variable rate changes twice a year based on the Consumer Price Index (CPI). TIPS vs I Bonds While both investments are designed to protect against inflation, they work differently. TIPS are fixed-income securities, while I Bonds are a type of savings bond. TIPS are traded on the secondary market and can be bought and sold like traditional bonds. In contrast, I Bonds can only be bought directly from the Treasury Department, and there are buying limits. Pros and Cons of TIPS Pros: 1. Inflation protection: TIPS are explicitly designed to protect against inflation, making them an ideal investment for those who want to safeguard against rising prices. 2. Liquidity: TIPS are traded on the secondary market, making them a relatively liquid investment. 3. Tax benefits: The interest earned on TIPS is subject to both federal and state taxes. However, investors do not have to pay taxes on the inflation adjustment until the bond matures or is sold. Cons: 1. Lower returns: TIPS usually have lower yields than traditional bonds, making them less attractive to some investors. 2. Higher risk: Like any investment, TIPS carry some risk, and while they are considered low-risk, they are not risk-free. Pros and Cons of I Bonds Pros: 1. Inflation protection: Like TIPS, I Bonds are designed to protect against inflation, and the inflation adjustment is tax-free. 2. Tax benefits: The interest earned on I Bonds is exempt from state and local taxes. 3. Backed by the government: I Bonds are considered one of the safest investments, as they are backed by the US government. Cons: 1. Limits on purchases: Investors are limited to buying $10,000 worth of I Bonds per year, which can be a disadvantage for those who want to invest more. 2. Lock-in period: I Bonds must be held for a minimum of one year before they can be redeemed. Which One is Better for 2023? The answer to this question depends on your investment goals and risk tolerance. TIPS are better for investors wanting a more liquid investment that is tradable on the secondary market. In contrast, I Bonds may appeal to those who want a more conservative investment that is guaranteed by the US government. Both investments will provide inflation protection, but TIPS may offer slightly higher returns for those willing to take on more risks. Conclusion TIPS and I Bonds are both excellent investment options for investors looking to protect against inflation. If you are comfortable with less liquidity and want a more secure investment with government backing, I Bonds may be the better choice. For those looking for more liquidity and higher returns, TIPS may be a better option. Ultimately, it is crucial to research and consult with a financial advisor to determine which investment is right for you. https://inflationprotection.org/tips-vs-i-bonds-whats-better-in-2023-treasury-inflation-protected-securities-tips-2023/?feed_id=75888&_unique_id=64042c62c1352 #Inflation #Retirement #GoldIRA #Wealth #Investing #diamondnestegg #ibondvstipsrates2023 #ibonds2023 #ibondsvstips #inflationhedgeinvestments #inflationprotection #inflationprotectionstrategy #jenniferlammer #shouldibuytips #tips2023 #tipsrealyieldcalculation #tipsrealyieldcurve #tipsvsibondrates2023 #tipsvsibonds #tipsvsibondsbogleheads #TIPSvsIBondsWhatsBetterIn2023TreasuryInflationProtectedSecuritiesTIPS2023 #treasuryinflationprotectedsecurities #treasuryinflationprotectedsecuritiestips #TreasuryInflationProtectedSecuritiesExplained #wealthprotection #InflationHedge #diamondnestegg #ibondvstipsrates2023 #ibonds2023 #ibondsvstips #inflationhedgeinvestments #inflationprotection #inflationprotectionstrategy #jenniferlammer #shouldibuytips #tips2023 #tipsrealyieldcalculation #tipsrealyieldcurve #tipsvsibondrates2023 #tipsvsibonds #tipsvsibondsbogleheads #TIPSvsIBondsWhatsBetterIn2023TreasuryInflationProtectedSecuritiesTIPS2023 #treasuryinflationprotectedsecurities #treasuryinflationprotectedsecuritiestips #TreasuryInflationProtectedSecuritiesExplained #wealthprotection

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