For investors seeking momentum, iShares TIPS Bond ETF (TIP - Free Report) is probably on radar now. The fund just hit a 52-week high, and is up 5.8% from its 52-week low price of $107.53 per share.
But are more gains in store for this ETF? Let’s take a quick look at the fund and the near-term outlook on it to get a better idea on where it might be headed:
TIP in Focus
This fund provides exposure to U.S. TIPS, which are government bonds whose face value rises with inflation. It has a weighted maturity of 8.17 years and effective duration of 7.52 years. TIPS focuses on top-rated bonds with AAA credit ratings, suggesting no default risk. The product charges 19 bps in annual fees (see: all the Inflation-Protected Bond ETFs here).
Why the Move?
The Treasury Inflation-Protected Securities (TIPS) corner of the bond market has been an area to watch lately given that inflation is on rise. Renewed trade fight between the two biggest economies with a new tariff increase will boost U.S. inflation and could dampen economic growth.
More Gains Ahead?
It seems that TIP might remain strong given a weighted alpha of 3.20% and a lower 20-day volatility of 3.35%. As a result, there is definitely still some promise for investors who want to ride on this surging ETF a little further.
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Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
For investors seeking momentum, iShares TIPS Bond ETF (TIP - Free Report) is probably on radar now. The fund just hit a 52-week high, and is up 5.8% from its 52-week low price of $107.53 per share.
But are more gains in store for this ETF? Let’s take a quick look at the fund and the near-term outlook on it to get a better idea on where it might be headed:
TIP in Focus
This fund provides exposure to U.S. TIPS, which are government bonds whose face value rises with inflation. It has a weighted maturity of 8.17 years and effective duration of 7.52 years. TIPS focuses on top-rated bonds with AAA credit ratings, suggesting no default risk. The product charges 19 bps in annual fees (see: all the Inflation-Protected Bond ETFs here).
Why the Move?
The Treasury Inflation-Protected Securities (TIPS) corner of the bond market has been an area to watch lately given that inflation is on rise. Renewed trade fight between the two biggest economies with a new tariff increase will boost U.S. inflation and could dampen economic growth.
More Gains Ahead?
It seems that TIP might remain strong given a weighted alpha of 3.20% and a lower 20-day volatility of 3.35%. As a result, there is definitely still some promise for investors who want to ride on this surging ETF a little further.
Want key ETF info delivered straight to your inbox?
Zacks’ free Fund Newsletter will brief you on top news and analysis, as well as top-performing ETFs, each week. Get it free >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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