FYI: Larry's been getting lots of questions lately about the merits of owning Treasury inflation-protected securities (TIPS) versus nominal bonds. With that in mind, today he will discuss how to determine whether to own TIPS or nominal fixed-income securities.
To begin, we need to recognize there are two ways one can hold TIPS and nominal bonds: purchase the bonds individually, or invest in mutual funds/exchange-traded funds (ETFs). When investing through taxable accounts and IRAs, one can do either. However, in corporate retirement plans, such as a 401(k), one is limited to funds.
Regards,
Ted
https://www.etf.com/sections/index-investor-corner/swedroe-understanding-tips?nopaging=1
