TDTF
FlexShares iBoxx 5-Year Target Duration TIPS Index ETF  |  NYSEARCA
52wk high:25.95
52wk low:24.44
Expense Ratio:0.20%
Div Frequency:Monthly
Div Rate (ttm):0.38
Yield (ttm):1.51%
Assets (AUM):$694.03M
Volume:
  • Sun, Jan. 1, 5:44 AM
    • SocGen suspects investors have not forgotten about a powerful bond rally in each January of the past three years, each with its own rationale ("the 2H13 taper tantrum was reversed as the economy started to run out of steam; early 2015 saw the front running of the ECB’s QE; early 2016 saw a panic reaction to large capital outflows in China").
    • Still, firm says it does not expect a repeat:
    • The macro environment differs sharply. Global growth peaked in autumn 2013, and from there slowed down consistently into mid-2016. But it has now turned. Global inflation has also picked up, with U.S. wages, oil prices and the Chinese PPI all pointing north. Economic momentum into the turn of the year, especially in the DM world, is such that the global economy is likely to prove more resilient to shocks.
    • "The cyclical improvement, along with the ongoing reflation effort (U.S. fiscal stimulus in the pipe, ECB, BoE and BoJ remain very accommodative) will push market participants to reduce unprecedented exposure to the interest rate risk.
    • "Our directional bias for now remains bearish."
    • ETFs: TBT, TLT, TIP, TMV, IEF, SHY, TBF, EDV, TMF, PST, TTT, VTIP, ZROZ, RINF, MBB, VGLT, TLH, IEI, BKT, SCHP, BIL, TYO, UBT, IPE, UST, DLBS, PLW, DTYS, TLO, VGSH, VMBS, LTPZ, SHV, GNMA, VGIT, STPP, STPZ, TIPZ, GOVT, SCHO, STIP, FLAT, TBX, SCHR, FTT, ITE, GSY, TYD, DTYL, EGF, VUSTX, DLBL, MBG, TYBS, SST, DTUS, TPS, TUZ, DTUL, TDTT, AGZ, DFVL, TIPX, TAPR, TBZ, TDTF, DFVS, USFR, TYNS, SIPE, TFLO, RISE, FIBR, GBIL, HYDD
    Sun, Jan. 1, 5:44 AM
  • Nov. 10, 2016, 1:32 PM
    • While the yield on the 10-year Treasury note has gained 22 basis points to 2.08% since the election, the yield on the same-maturity inflation-linked Treasury is up just five basis points. That's a pretty sizable relative move, says Standish Mellon's Raman Srivastava.
    • The conventional thinking here is that the new president's policies such as lower taxes, lower regulation, and more infrastructure spending are going to lead to higher inflation.
    • TIPS ETFs: TIP, VTIP, SCHP, IPE, LTPZ, STPZ, TIPZ, STIP, TPS, TDTT, TIPX, TDTF, SIPE
    Nov. 10, 2016, 1:32 PM | 1 Comment
  • Nov. 10, 2016, 11:06 AM
    Nov. 10, 2016, 11:06 AM | 49 Comments
  • Nov. 7, 2016, 3:37 PM
    Nov. 7, 2016, 3:37 PM | 1 Comment
  • Oct. 18, 2016, 4:59 AM
    • Tracking the differential in the yield of TIPS (Treasury Inflation-Protected Securities) and conventional Treasury notes renders an indicator known as the BEI - the breakeven inflation rate.
    • The BEI gets its name because it represents a point of indifference - the level of inflation at which you’d receive approximately the same total return on your TIPS as you would on a conventional T-note if CPI inflation averages that rate over the next 10 years.
    • Back in February, the 10-year BEI cratered at 1.18%. It's now retesting the 1.67% resistance area. If it break, and stays, above 1.70%, the next upside objective is the 1.90% level, SA author Brad Zigler says.
    • If the pattern holds, investors could readjust their portfolio’s fixed income exposure and duration with the following ETF play: The 10-year BEI is proxied by the price ratio of the iShares TIPS Bond ETF (NYSEARCA:TIP) versus the iShares 7-10 Year Treasury Bond ETF (NYSEARCA:IEF).
    • Zigler notes that the TIP/IEF ratio broke above its 100-week simple moving average ("SMA" - see chart here). "Without going into a bunch of technical interpretation, suffice it to say that this sets up TIPS as the better buy for income-focused investors - for the long term."
    Oct. 18, 2016, 4:59 AM | 8 Comments
  • May 23, 2016, 1:20 PM
    • "Why deflation is dead," is the title of the latest weekly commentary from BlackRock global chief investment strategist Richard Turnhill.
    • It's not just about higher energy prices, he says, The rising dollar has been a headwind to inflation, and that's beginning to abate. He also notes prices of more stable service-based components of the CPI have begun rising, as are wages, and consumer inflation expectations.
    • TIPS are pricing in inflation of just 1.4% over the next ten-years, and prices have slipped in the past few days as investor ratchet up rate-hike expectations.
    • That's a mistake, says Turnhill, who expects the Fed to remain pretty cautious on tighter policy. "Rising inflation means owning TIPS in lieu of nominal Treasurys can be an important hedge for fixed income portfolios."
    • ETFs: TIP, VTIP, SCHP, IPE, LTPZ, STPZ, TIPZ, STIP, TPS, TDTT, TIPX, TDTF, SIPE
    May 23, 2016, 1:20 PM | 3 Comments
  • Mar. 30, 2016, 11:56 AM
    • "A Fed less concerned about [inflation] shifts risk to a price breakout," says FTN Financial's Jim Vogel, quickly summing up the bull case on TIPS.
    • Yellen's dovish remarks yesterday - especially in the face of core CPI up 2.3% Y/Y in February - sent the five-yield TIPS yield lower by 15 basis points. It's off another four bps today to negative 0.33%. TIPS have returned more than 4% YTD, outperforming most vanilla Treasurys, according to Barclays.
    • Pimco and BlackRock are among those bullish on the paper, and TIPS ETFs have raked in a record $2.14B this quarter.
    • ETFs: TIP, VTIP, SCHP, IPE, LTPZ, STPZ, TIPZ, STIP, TPS, TIPX, TDTT, TDTF, SIPE
    Mar. 30, 2016, 11:56 AM | 6 Comments
  • Jun. 24, 2015, 11:34 AM
    • With many investors stuck in the recent past's worry over deflation,TIPS "reflect insufficient risk premium" that inflation could run higher than the Fed's 2% target, says Pimco's Mihir Worah, CIO real return and asset allocation.
    • "These U.S. government-backed bonds, and inflation-linked bonds of several other nations, can be the cornerstone of a portfolio of inflation-hedging assets, depending on the specific objectives of each investor."
    • ETFs: TIP, WIP, VTIP, SCHP, IPE, LTPZ, WIW, STPZ, TIPZ, STIP, ILB, WIA, ITIP, GTIP, TPS, TDTT, TIPX, TDTF, SIPE
    Jun. 24, 2015, 11:34 AM | 2 Comments
  • Apr. 21, 2015, 11:07 AM
    • The $13.8B iShares TIPS Bond ETF (NYSEARCA:TIP) saw $634M of inflows last week, the highest weekly amount since the fund's opening in 2003. The move came alongside the latest CPI report which showed core prices rising faster than expected for a 2nd straight month, as well as the continued bounce in crude - now up about 30% from its March low.
    • At the Barron's roundtable in January, Bill Gross singled out the Schwab U.S. TIPS ETF (NYSEARCA:SCHP) for gains, expecting a rebound in returns with just a modest reversal in the oil bear market.
    • Source: Barron's
    • ETFs: TIP, VTIP, SCHP, IPE, LTPZ, STPZ, TIPZ, STIP, TPS, TDTT, TIPX, TDTF, SIPE
    Apr. 21, 2015, 11:07 AM | 1 Comment
  • Dec. 18, 2014, 12:11 PM
    • Oil price drops similar or greater in magnitude than what's recently been seen have occurred a number of times over the past 30 years, say new Pimco CIO Daniel Ivascyn along with Saumil Parikh. Some have coincided with major recessions and others with faster global growth. So what gives for 2015?
    • The short answer: This drop in oil is supply-, not demand-driven, they conclude, and thus should foster faster economic growth than otherwise next year.
    • As for inflation, expect negative headline prints in developed economies next year, but these should bounce back later in 2015 and into the following year.
    • Investment themes: 1) The outlook for easier monetary policy (in all but the U.S.) has been priced in, making for limited upside for high-quality duration 2) TIPS are attractive as their prices have more than discounted the coming negative inflation prints 3) Globally, eurozone peripheral bonds are the pick 4) In the U.S. non-agency mortgages (see Ivascyn's PDI) are poised for outperformance, but agency paper is overvalued, particularly as the Fed's purchases have ended.
    • Ivascyn also manages the Pimco Income Fund (MUTF:PONAX) and (formerly managed by Bill Gross) the Pimco Unconstrained Bond Fund (MUTF:PUBAX).
    • ETFs: AGG, BND, BOND, SCHZ, LAG, SAGG, DI, GBF, FBND, LDUR, FWDB, IUSB, VBND, TIP, VTIP, SCHP, IPE, LTPZ, STPZ, TIPZ, STIP, TPS, TDTT, TIPX, TDTF, SIPE
    Dec. 18, 2014, 12:11 PM | 1 Comment
  • Jun. 25, 2014, 4:41 AM
    • Expectations of U.S. and euro zone break-even rates seem to be heading in opposite directions, as investors wager on opposing consumer price outlooks. The break-even rates, as measured by the difference between yields on 10-year nominal Treasury notes and TIPs, are at about 2.3% in the U.S. This greatly differs in the euro zone, where Germany reports a rate of 1.3%.
    • TIPs are expected to gain in popularity over the next year, as break-evens expect to rise in par with U.S. inflation. However, the euro zone is currently dealing with a falling inflation rate. Despite the European Central Bank instituting a 2% inflation mandate, annual inflation in the euro zone was only 0.5% in May.
    • ETFs: TIP, WIP, VTIP, SCHP, IPE, LTPZ, STPZ, TIPZ, STIP, ILB, ITIP, GTIP, TPS, TDTT, TIPX, TDTF, SIPE, RINF, INFL, UINF, FINF, DEFL, SINF
    Jun. 25, 2014, 4:41 AM
  • Mar. 31, 2014, 7:53 AM
    • After pouring money into U.S. Treasury ETFs in the first two months of the year, investors pulled $10.3B in March, the largest amount withdrawn since December 2010, according to Bloomberg. The $7.86B iShares 1-3 Year Treasury Bond ETF (SHY) is the leader on a percentage basis - losing one-third of its AUM this month.
    • The catalyst is clearly the FOMC's signal on rate hikes beginning in about a year. “When the market thinks the Fed is going to raise rates, they don’t tend to stick around in short-dated bonds,” says global macro strategist Thomas Higgins.
    • Short-duration Treasury ETFs: SHY, BIL, SHV, VGSH, SCHO, DTUL, SST, DTUS, TUZ
    • In other areas of fixed income, inflation--linked bond ETFs had their first inflows in 19 months, and investors continue to plow money in high-yield.
    • TIPs and junk ETFs: HYG, JNK, TIP, HYLD, HYS, SJNK, PHB, VTIP, IPE, SCHP, SJB, STPZ, LTPZ, TIPZ, HYHG, STIP, ANGL, HYLS, XOVR, THHY, UJB, TPS, SHYG, QLTC, TDTT, TIPX, HYZD, TDTF, HYND, SIPE
    Mar. 31, 2014, 7:53 AM
  • Mar. 20, 2014, 3:24 PM
    Mar. 20, 2014, 3:24 PM
  • Feb. 27, 2014, 11:26 AM
    • The SPDR Barclays 0-5 Year TIPS ETF (SIPE) launches today and will offer investors short term exposure to the TIPS market; this space features a lot of competition.
    • The iShares Enhanced International Large Cap ETF (IEIL) and Enhanced International Small Cap ETF (IEIS) began their active strategy this morning and offer expense ratios of 0.35% and 0.49% respectively.
    • The PowerShares International BuyBack Achievers Portfolio (IPKW), like IEIL and IEIS, is based on a previously launched domestic strategy; the PowerShares BuyBack Achievers Portfolio (PKW).
    • TIPS ETFs: TIP, VTIP, IPE, SCHP, STPZ, LTPZ, TIPZ, STIP, TPS, TDTT, TIPX, TDTF
    • Broad international ETFs: VT, VSS, SCZ, DLS, ACWI, IOO, SCHC, ONEF, DGT, FIGY, RWV, FNDC, TOK
    • Buyback ETFs: SYLD, FYLD
    Feb. 27, 2014, 11:26 AM
  • Nov. 29, 2013, 12:47 PM
    • TIPS fared even worse than regular Treasurys in the bond market selloff this summer, and - down 8% YTD - are headed for their poorest performance since they were brought to market in 1997. The 10-year yield gap - the difference between 10-year yields on nominal and inflation-protected Treasurys, and a measure of inflation expectations - has shrunk to 2.14% from 2.5% at the start of the year.
    • TIPS owners for years have accepted negative real yields on the expectation the Fed's monetary ease would lead to higher inflation. With inflation still quiet and the Fed set to wind down its QE, where's a TIPS bull to turn to? 2014 may be even worse, says JPMorgan, which sees CPI no higher than 1.7%. Combined with what the team expects will be a 120 basis point rise in real yields, it translates into a 8.4% loss for TIPS.
    • Maybe bailing out TIPS next year would be a Yellen-led Fed indicating a greater tolerance for higher inflation and yet more delays in the taper.
    • TIPS ETFs: TIP, VTIP, IPE, SCHP, LTPZ, STPZ, TIPZ, STIP, TPS, TDTT, TDTF, TIPX
    Nov. 29, 2013, 12:47 PM | 3 Comments
  • Nov. 16, 2013, 10:08 PM
    • "Our problem is that the S&P is up this year about 25% on earnings that are up 3%. So we've got a market that is rising because of P/E expansion," 21-year GMO veteran Ben Inker tells Barron's (one recalls a similar warning from Guggenheim back in August).
    • Inker argues that because P/E multiples are still expanding at a time when profit margins are "already as good as we've ever seen," the prospects for upside surprises to profit growth look "pretty dim" going forward.
    • As for bonds, Inker characterizes the return on U.S. government debt as "horrible" and says corporate debt "is riskier than people are making it out to be, particularly the very low-rated stuff."
    • Inker's picks for the current environment: TIPS, "high-quality" U.S. companies, and emerging-market stocks where reasonable valuations leave room for some upside.
    • "High-quality" U.S. stocks mentioned include: JNJ, MCD, WMT, MSFT
    • TIPS ETFs: TIP, VTIP, IPE, SCHP, LTPZ, STPZ, TIPZ, STIP, TPS, TDTT, TDTF, TIPX
    • EM ETFs: EEM, VWO, EDC, EDZ, SCHE, IEMG, EEV, PIE, ADRE, EUM, EET, GMM, EEME, EMCR, DBEM, EWEM, FEM, EMLB, EMSA, EMFT, EMDR
    • High-yield ETFs: HYG, JNK, HYS, HYLD, SJNK, PHB, SJB, ANGL, XOVR, UJB, QLTC
    Nov. 16, 2013, 10:08 PM | 4 Comments