No. of Recommendations: 1
Author: Mark0Young Date: 10/28/00 6:42 PM Number: 25815
According to the I-Bond information page I-Bonds are guaranteed to not lose value, which is a different thing than not going down below a guaranteed minimum. In particular, if the CPI-U goes negative, it will be subtracted from the fixed part of the I-Bond rate, but only to the extent where the bond doesn't lose value.

Yes, good point! I did not consider the case of deflation in my post.

-rkm
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