A US Department of Treasury product which increases with inflation and decreases with deflation, as measured by the Consumer Price Index When a TIPS matures, you are paid the adjusted principal or original principal, whichever is greater TIPS pay interest twice a year, at a fixed rate The rate is applied to the adjusted principal, so, like the principal, interest payments rise with inflation and fall with deflation TIPS are the same as CIBs.« Back to Glossary Index
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