Author: Brian Sack
Publisher:
ISBN:
Category : Inflation-indexed bonds
Languages : en
Pages : 54

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Book Description

Author: Brian P. Sack
Publisher:
ISBN:
Category :
Languages : en
Pages : 40

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Book Description
This paper reviews the U.S. experience with inflation-indexed debt. To date, Treasury inflation-indexed securities have not been highly valued by investors, with the spread between the yields on nominal and inflation-indexed securities falling consistently below most measures of long-run inflation expectations. A number of factors might have contributed to the low relative valuation of TIIS, including the difficulty for investors of adjusting to a new asset class, the concentration of participation in the market, the lower liquidity of TIIS relative to nominal Treasury securities, and the divergent trends in the supply of nominal and inflation-indexed Treasury debt. As a result, inflation-indexed debt has not yet lived up to one of its main purposes--to reduce financing costs to the Treasury. However, there are signs that the TIIS market is still evolving, which could affect the valuation of TIIS going forward.

Author: United States. Congress. House. Committee on Government Operations. Commerce, Consumer, and Monetary Affairs Subcommittee
Publisher:
ISBN:
Category : Business & Economics
Languages : en
Pages : 204

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Book Description

Author: Susan J. . Irving
Publisher: DIANE Publishing
ISBN: 1437923348
Category : Business & Economics
Languages : en
Pages : 36

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Book Description
The 2008 financial market crisis and the economic recession led to a rapid and substantial increase in federal debt. This report describes current debt management challenges and examines the role of a program that could benefit Treasury ¿ Treasury Inflation Protected Securities (TIPS). The report analyzed market data and interviewed experts as well as the two largest holders of Treasury securities in each of six sectors. Includes recommendations. Charts, tables and graphs.

Author: Mr.Robert T. Price
Publisher: International Monetary Fund
ISBN: 1451842864
Category : Business & Economics
Languages : en
Pages : 70

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Book Description
A number of industrialized countries have recently offered inflation-indexed bonds. Some members of another group of countries that had earlier adopted more comprehensive indexation in response to high inflation have taken steps to reduce the scope of indexation in their economies. This paper surveys debt management, monetary policy, and welfare arguments on the use of inflation-indexed bonds, and relates these to the experiences of various issuers. The paper also considers some important design features of indexed bonds.

Author: Walter J. Reinhart
Publisher:
ISBN:
Category :
Languages : en
Pages :

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Book Description
A challenge faced by investors as interest rates eventually rise in response to inflationary pressure is how they maintain value and purchasing power. Treasury Inflation Protected Securities (TIPS) are a debt instrument offered to protect against inflation. This article describes TIPS, reviews their risk return profile, explains tax considerations, provides several numerical examples, and briefly discusses investment/portfolio factors. The tax treatment of TIPS consists of two components: (1) the taxation of semiannual interest payments, and (2) the taxation of inflation/deflation adjustments to principal. Because TIPS are issued at par and interest is unconditionally payable in cash at least annually at a single fixed rate (called qualified stated interest), they meet the criteria for the more simplified coupon bond method specified by the Treasury regulations. The tax implications negate some of the certainty of inflation protection if they are held in taxable accounts.

Author: John Brynjolfsson
Publisher: John Wiley & Sons
ISBN: 9781883249489
Category : Business & Economics
Languages : en
Pages : 314

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Book Description
Handbook of Inflation Indexed Bonds provides complete coverage of inflation protection bonds beginning with their first U.S. issuance in 1997. Five, in-depth sections detail: strategic asset allocation; mechanics, valuation, and risk monitoring; global environment; issuers; and investors.

Author: Mark Deacon
Publisher: John Wiley & Sons
ISBN: 0470868988
Category : Business & Economics
Languages : en
Pages : 360

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Book Description
The global market for inflation-indexed securities has ballooned in recent years, and this trend is set to continue. This book examines the rationale behind issuance and investment decisions, and details the issues facing anyone who designs indexed securities, illustrating them wherever possible with actual examples from the international capital markets. In particular, an extensive review of indexed debt markets throughout the world is provided - including for the first time, a comprehensive and consistent set of cash flow and price-yield equations for the instruments already in existence in the major bond markets - forming an important reference for those already experienced in the field, as well as practitioners and academics approaching the subject for the first time. The book also provides unique insight into the development of inflation-indexed derivative products, and the analytical tools required to value such instruments.

Author: United States Government Accountability Office
Publisher: Createspace Independent Publishing Platform
ISBN: 9781976205309
Category :
Languages : en
Pages : 36

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Book Description
The 2008 financial market crisis and the economic recession led to a rapid and substantial increase in federal debt. This report, part of a line of work on debt management, was conducted under the Comptroller General's authority. It describes current debt management challenges and examines the role of a program that could benefit Treasury-Treasury Inflation Protected Securities (TIPS). GAO analyzed market data and interviewed experts as well as the two largest holders of Treasury securities in each of six sectors.

Author: United States Government Accountability Office
Publisher: Createspace Independent Publishing Platform
ISBN: 9781983980329
Category :
Languages : en
Pages : 36

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Book Description
Debt Management: Treasury Inflation Protected Securities Should Play a Heightened Role in Addressing Debt Management Challenges