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A question on TIPS
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09-10-2007, 11:23 AM
DcifrThs
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Join Date: Aug 2003
Location: Spewin them chips
Posts: 10,115
Re: A question on TIPS
[ QUOTE ]
Principle is adjusted down if deflation.
[/ QUOTE ]
there is a limit though...you can't owe money (i.e. if deflation occurs for the life of the bond, you are paid your initial principal)
Barron
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