Morningstar Rating

ETF Research and Analysis

by Thomas Boccellari
Suitability
Schwab U.S. TIPS ETF SCHP tracks a broad, market-cap-weighted portfolio of U.S. Treasury Inflation-Protected Securities with more than a year left until maturity. Because TIPS are excluded from aggregate-bond exchange-traded   Read more 

Bull Case

By investing in TIPS, the fund provides protection against unexpected inflation.
The fund is the cheapest TIPS ETF available. Read more 

Bear Case

If inflation rises slowly, the fund may underperform non-inflation-protected Treasuries.
Because of the fund's long duration, interest rate changes may negate the fund's inflation protection.
Deflation could cause the fund to suspend distribution of monthly interest payments. Read more 

2 Low-Cost ETFs for Broad U.S. Stock Exposure 
Watch more 

Premium Membership

View all of our analyst reports with a free trial to Morningstar.com Premium.