- With CDs earning below inflation (and not even close), investors in need of income are searching for high quality investments to meet that need. Not sure HIPS meets that goal.
- Smart income investors do not tunnel-vision solely on yield. They are also concerned with the investment’s Total Return. VCSH, a short-term Corporate Bond ETF betters HIPS on that measure.
- This article will describe HIPS and explain why all investors, income-focused and others, should skip this one. I give it a Very Bearish rating.
For further details see:
HIPS: Yield Is Its Only Good Feature