Inflation-linked bond

Inflation-linked bonds, also known as treasury inflation-protected securities (TIPS), are used to protect against inflation. A good understanding of TIPS is necessary for capitalizing on market opportunities.

Please explain the relationship between TIPS and the consumer price index. What are the benefits and drawbacks of buying TIPS?

 
"Looking for a Similar Assignment? Order now and Get 10% Discount! Use Code "Newclient"