Rated overweight by S&P Capital IQ, NEAR is an actively managed fund with an effective duration of just 0.88 years, according to issuer data.
The FlexShares iBoxx 3-Year Target Duration TIPS Index Fund (NYSEArca: TDTT) is another lower duration option for investors to consider. TDTT is nearly three years old and has quietly amassed $2.1 billion in assets under management.
Rated overweight by S&P Capital IQ, TDTT tries to reflect the performance of Treasury Inflation Protection Securities with a 3-year target duration. TIPS are indexed to inflation and their value rises along with increases in inflation, as measured by the Consumer Price Index. [Demand for TIPS ETFs Rises]
FlexShares iBoxx 3-Year Target Duration TIPS Index Fund
Tom Lydon’s clients own shares of TLT.