The Ultimate Defense Against Inflation: TIPS

Treasury inflation-protected securities are some of the safest investments around.

Although investing directly through the Treasury is simplest, you can also buy TIPS through a brokerage account. Vitalii Vodolazskyi/Shutterstock

If you’re worried about inflation, you may be interested in equipping your portfolio with Treasury inflation-protected securities (TIPS).

TIPS are bonds issued by the federal government, making them some of the safest investments around. Plus, they’re designed to keep pace with inflation based on the consumer price index.