AngelMay asks,<<The current coupon on I-bonds is only 1.00% vs. the 2.2%-2.4% you can get with TIPS. The 6% yield includes the inflation adjustment. TIPS would return over 1% more than I-bonds with the same inflation.>>So you think I-Bonds are a bad deal?Yes, if you have room in an IRA/401k to buy TIPS instead.I would only buy an I-bond if my IRA was currently invested in 100% TIPS and for some reason I wanted more inflation-protected bonds.intercst Then how come the yield on TIPS is less than that of I-Bonds (according to the Treasury Direct website that lists the latest yields)? Is there something I'm not understanding about these reported figures?Here are the latest for TIPS:2-YEAR NOTE Interest Rate: 4.625 Yield: 4.730 5-YEAR NOTE Interest Rate: 4.750 Yield: 4.785 9-YEAR 11-MONTH NOTE Interest Rate: 4.500 Yield: 4.760 And for I-Bonds: 6.73%What am I missing here?AM
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