TIP vs. TIPZ
TIP (iShares TIPS Bond ETF) and TIPZ (PIMCO Broad US TIPS Index ETF) are both Inflation-Protected Bonds funds - TIP tracks the ICE U.S. Treasury Inflation Linked Bond Index while TIPZ tracks the ICE BofA US Inflation-Linked Treasury. Both are passively managed. Over the past 10 years, TIP returned 2.43%/yr vs 2.37%/yr for TIPZ. Their correlation of 0.93 suggests significant overlap in exposure. TIP charges 0.18%/yr vs 0.20%/yr for TIPZ.
Performance
TIP vs. TIPZ - Performance Comparison
Loading charts...
Returns By Period
In the year-to-date period, TIP achieves a 0.74% return, which is significantly lower than TIPZ's 1.90% return. Both investments have delivered pretty close results over the past 10 years, with TIP having a 2.43% annualized return and TIPZ not far behind at 2.37%.
TIP
- 1D
- -0.04%
- 1M
- -0.19%
- YTD
- 0.74%
- 6M
- 0.81%
- 1Y
- 3.34%
- 3Y*
- 3.52%
- 5Y*
- 0.82%
- 10Y*
- 2.43%
TIPZ
- 1D
- -0.01%
- 1M
- -0.02%
- YTD
- 1.90%
- 6M
- 0.95%
- 1Y
- 3.58%
- 3Y*
- 3.45%
- 5Y*
- 0.62%
- 10Y*
- 2.37%
TIP vs. TIPZ - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | |
|---|---|---|---|---|---|---|---|---|---|---|
TIP iShares TIPS Bond ETF | 0.74% | 6.77% | 1.65% | 3.80% | -12.26% | 5.68% | 10.84% | 8.35% | -1.42% | 2.92% |
TIPZ PIMCO Broad US TIPS Index ETF | 1.90% | 5.87% | 1.52% | 3.37% | -12.67% | 5.48% | 10.98% | 8.64% | -1.65% | 3.12% |
Correlation
The correlation between TIP and TIPZ is 0.95 - these two move nearly in lockstep. At this level, holding both provides almost no diversification benefit. If you already own one, adding the other does little to reduce portfolio risk.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.95 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.98 |
Correlation (5Y) Calculated over the trailing 5-year period | 0.98 |
Correlation (10Y) Calculated over the trailing 10-year period | 0.95 |
Correlation (All Time) Calculated using the full available price history since Sep 9, 2009 | 0.93 |
The correlation between TIP and TIPZ has been stable across timeframes, ranging from 0.93 to 0.98 - a consistent structural relationship.
Compare stocks, funds, or ETFs
Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.
Return for Risk
TIP vs. TIPZ — Risk / Return Rank
TIP
TIPZ
TIP vs. TIPZ - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for iShares TIPS Bond ETF (TIP) and PIMCO Broad US TIPS Index ETF (TIPZ). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.
Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.
| TIP | TIPZ | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | +0.05 | ||
| Sortino ratioReturn per unit of downside risk | +0.11 | ||
| Omega ratioGain probability vs. loss probability | 1.17 | 1.17 | 0.00 |
| Calmar ratioReturn relative to maximum drawdown | 1.70 | 1.65 | +0.05 |
| Martin ratioReturn relative to average drawdown | 4.99 | 5.08 | -0.09 |
Loading charts...
Drawdowns
TIP vs. TIPZ - Drawdown Comparison
The maximum TIP drawdown since its inception was -14.57%, smaller than the maximum TIPZ drawdown of -15.77%. Use the drawdown chart below to compare losses from any high point for TIP and TIPZ.
Loading charts...
Drawdown Indicators
| TIP | TIPZ | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -14.57% | -15.77% | +1.20% |
Max Drawdown (1Y)Largest decline over 1 year | -1.98% | -2.18% | +0.20% |
Max Drawdown (3Y)Largest decline over 3 years | -4.54% | -4.74% | +0.20% |
Max Drawdown (5Y)Largest decline over 5 years | -14.51% | -15.77% | +1.26% |
Max Drawdown (10Y)Largest decline over 10 years | -14.51% | -15.77% | +1.26% |
Current DrawdownCurrent decline from peak | -1.11% | -2.09% | +0.98% |
Average DrawdownAverage peak-to-trough decline | -3.43% | -4.32% | +0.89% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 0.67% | 0.71% | -0.04% |
Volatility
TIP vs. TIPZ - Volatility Comparison
iShares TIPS Bond ETF (TIP) and PIMCO Broad US TIPS Index ETF (TIPZ) have volatilities of 1.22% and 1.19%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.
Loading charts...
Volatility by Period
| TIP | TIPZ | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 1.22% | 1.19% | +0.03% |
Volatility (6M)Calculated over the trailing 6-month period | 2.47% | 3.00% | -0.53% |
Volatility (1Y)Calculated over the trailing 1-year period | 3.44% | 3.90% | -0.46% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 6.20% | 6.35% | -0.15% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 5.74% | 5.85% | -0.11% |
TIP vs. TIPZ - Expense Ratio Comparison
TIP has a 0.18% expense ratio, which is lower than TIPZ's 0.20% expense ratio. Despite the difference, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.
Dividends
TIP vs. TIPZ - Dividend Comparison
TIP's dividend yield for the trailing twelve months is around 3.79%, less than TIPZ's 5.14% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
TIP iShares TIPS Bond ETF | 3.79% | 3.46% | 2.52% | 2.73% | 6.96% | 4.28% | 1.17% | 1.75% | 2.71% | 2.07% | 1.48% | 0.34% |
TIPZ PIMCO Broad US TIPS Index ETF | 5.14% | 4.74% | 4.44% | 4.69% | 7.14% | 4.41% | 1.47% | 1.65% | 2.23% | 1.70% | 1.06% | 0.56% |
Frequently Asked Questions
With a correlation of 0.95, TIP and TIPZ move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.
TIP has higher volatility (1.22%) compared to TIPZ (1.19%). In terms of maximum drawdown, TIP dropped -14.57% vs TIPZ's -15.77%.
On 10-year performance, TIP leads with 2.43% vs 2.37% for TIPZ. On fees, TIP is cheaper at 0.18% per year. Their volatility is very similar. The better choice depends on whether you care most about return, fees, risk, or income.
Over the 10-year period, TIP has performed better with a 2.43% return vs 2.37%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.
TIP is cheaper with a 0.18% expense ratio, compared with 0.20% for TIPZ.
TIPZ has the higher dividend yield at 5.14%, compared with 3.79% for TIP.
TIP tracks ICE U.S. Treasury Inflation Linked Bond Index, while TIPZ tracks ICE BofA US Inflation-Linked Treasury. They also come from different issuers: iShares and PIMCO. Their fees differ too: 0.18% for TIP and 0.20% for TIPZ.
TIP currently has the higher Sharpe Ratio (0.97 vs 0.92), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.
Find the right allocation for TIP and TIPZ
Add both to a portfolio and optimize allocations for your target — whether that's maximizing returns, minimizing drawdowns, or balancing risk across holdings.
Open Portfolio Optimizer