Are iBonds good inflation protection?
Dear Terry, I've read that iBonds from the US Treasury are a great investment because they automatically adjust for inflation.Is this true,and what do you think about them? Thank you for your advice through the years!
Terry Says
Don't confuse Series I Savings Bonds with TIPS (Treasury Inflation Protected Securites). I--bonds are no longer a good investment. Period. That's because they changed the way interest is calculated and added. Just stay away from them. You can buy Treasury inflation adjusted securities in a bond fund such as the American Century TIPS fund. They should mitigate the impact of future inflation on the price of the bonds.
