Homrich & Berg says inflation — ready bond portfolios should limit TIPS exposure, favor short — duration credit
Homrich & Berg flagged uneven inflation protection from TIPS, citing the TIP ETF often failing to match CPI over its 22-year history. TIPS returns tracked moves in real yields more than inflation, outperforming in 2007-08 when real yields fell 77bp. Rising real yields can overwhelm inflation accretion, with 2022 cited