I realize why some people love TIPS

General Discussion on the Permanent Portfolio Strategy

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yankees60
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Re: I realize why some people love TIPS

Post by yankees60 »

craigr wrote: Mon Nov 28, 2011 10:25 am If the US dollar ever gets serious inflation I suspect that TIPS are going to get walloped.

There is a case to be made for using them for the cash allocation (but better than a simple T-Bill? Not so sure.). However the idea of buying inflation insurance from the people causing inflation is a conflict of interest that an investor just can't ignore.
According to the table in this article: https://www.thebalance.com/u-s-inflatio ... st-3306093, when would you consider the last time of inflation?

For year, I'd nominate 1981. For time period I'd say 1973 to 1981 (just as wrote that I realized that wasn't that one of the terrible times for equities, when equities are, instead, supposed to benefit from inflation?).

How poised do you believe for the US dollar to get "serious inflation"?
Vinny
Above provided by: Vinny, who always says: "I only regret that I have but one lap to give to my cats." AND "I'm a more-is-more person."
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