Comparing VTip to BND, I have been mulling over the bond portion of my 60/40 portfolio which right now includes BND and BNDX. I want to add VTip to the mix and have decided on using an ETF vs buying the individual tips.
My question: I have been using the Portfolio Optimization tool as well as other online resources looking at historic data. In all the scenarios i run, Vtip outperforms BND. In fact, I get a better return and less volatility and not as much of a max draw down. On the optimizer the back test is from 2000 to 2024. I have also used different periods of time and Vtip outperforms with less risk. Am I missing something. In my last analysis i replaced BND with Vtip and it was the best outcome.
My question: I have been using the Portfolio Optimization tool as well as other online resources looking at historic data. In all the scenarios i run, Vtip outperforms BND. In fact, I get a better return and less volatility and not as much of a max draw down. On the optimizer the back test is from 2000 to 2024. I have also used different periods of time and Vtip outperforms with less risk. Am I missing something. In my last analysis i replaced BND with Vtip and it was the best outcome.
Statistics: Posted by Toadinlaw — Sun Jan 05, 2025 2:54 pm