have have tips performed 
in 2022 inflation in the united states hit highs not seen in four decades leading many investors to flock to tips for protection however that insurance policy didn t really go according to plan these inflation protecting securities fell an average of 14 2 during the course of the year performing not much better than regular treasuries and major equity markets 5this serves as a reminder of how tips work and how they are often misunderstood when inflation soared in 2022 the federal reserve as it normally does when the cost of living rockets hiked interest rates and steep increases in the cost of borrowing caused tips like the rest of the bond market to plummet in value despite the extra payouts tied to inflation in 2023 as inflation cooled and the fed lowered interest rates tips struggled to perform well from january 1 2023 to december 31 2023 the ishares tips bond etf returned an annual return of 0 99 gaining 1 05 over the course of the year most of this return had been given back through the first several months of 2024 from the start of the year to the end of mary 2024 the etf had a loss of 0 73 6